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Kubin Company\'s relevant range of production is 21000 to 25,000 units. When it

ID: 2329285 • Letter: K

Question

Kubin Company's relevant range of production is 21000 to 25,000 units. When it produces and sells 23,000 units, ts average costs per unit are as follows: Amount per Unit Direct materials Direct labor Variable manufacturing $8.10 $ 5.10 $2.60 overhead Fixed manufacturing overhead 6.10 $4.60 Fixed administrative expense 3.60 Fixed selling expense Sales commissions Variable administrative $ 2.1 $ 1.60 expense Required 21,000 units are produced and sold, what is the variable cost per unit produced and sold? 2 25,000 units are produced and sold, what is the variable cost per unit produced and sold? 3. If 21,000 units are produced and sold, what is the total amou 4 25,000 units are produced and sold, what is the total amount of variable cost related to the units produced and sold? 5 If 21,000 units are produced, what is the average fixed manufacturing cost per unit produced? 6 I1 25.000 units are produced, what is the average fixed manufacturing cost per unit produced? nt of variable cost related to the units produced and sold? 21,000 units are produced, what is the total amount of fixed manufacturing overhead incurred to support this level of overhead incurred to support this level of production i1 25,000 units are produced. what is the total amount of fixed manufacturing overhead incured to support this tevel of production? Round per unit values to 2 decimal pleces.)

Explanation / Answer

1 Variable cost per unit Direct material 8.1 Direct labor 5.1 Variable manufacturing overhead 2.6 Sales commission 2.1 Variable admiistrative expense 1.6 Variable cost per unit 19.5 2 Variable cost per unit Direct material 8.1 Direct labor 5.1 Variable manufacturing overhead 2.6 Sales commission 2.1 Variable admiistrative expense 1.6 Variable cost per unit 19.5 3 Total amounts of units produced and sold 409500 (19.5*21000) 4 Total amounts of units produced and sold 487500 (19.5*25000)