Dake Corporation's relevant range of activity is 3,100 units to 6,500 units. When it produces and sells 4,800 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 7 Direct labor $ 3.00 Variable manufacturing overhead $ 1.75 Fixed manufacturing overhead $ 3.00 Fixed selling expense $ 1.05 Fixed administrative expense $ 0.75 Sales commissions $ 0.85 Variable administrative expense $ 0.75 For financial reporting purposes, the total amount of product costs incurred to make 4,800 units is closest to:

Dake Corporation's relevant range of activity is 3,100 units to 6,500 units. When it produces and sells 4,800 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 7 Direct labor $ 3.00 Variable manufacturing overhead $ 1.75 Fixed manufacturing overhead $ 3.00 Fixed selling expense $ 1.05 Fixed administrative expense $ 0.75 Sales commissions $ 0.85 Variable administrative expense $ 0.75 For financial reporting purposes, the total amount of product costs incurred to make 4,800 units is closest to:

Name: Dake Corporation's relevant range of activity is 3,100 units to 6,500
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Description: Dake Corporation's relevant range of activity is 3,100 units to 6,500 units.When it produces and sells 4,800 units, its average costs per unit are asfollows: Average Cost per Unit Direct materials $ 7 Direct labor $ 3.00Variable manufacturing overhe

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 14EA: Cool Pool has these costs associated with production of 20,000 units of accessory products: direct...

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