A)Axle and Wheel Manufacturing currently produces and sells 1,000 axles permonth. The following per unit...
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Accounting
A)Axle and Wheel Manufacturing currently produces and sells 1,000 axles permonth. The following per unit data apply for sales to regular customers:
Direct materials200
Direct manufacturing labor30
Variable manufacturing overhead60
Fixed manufacturing overhead40
Total manufacturing costs330
The plant has capacity for 2,000 axles.
Required:
a.What is the total cost of producing 1,000 axles?
b.What is the total cost of producing 2,000 axles?
c.What is the per unit cost when producing 1,500 axles?
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