Respuesta :
Answer:
Explanation:
First, we have to compute the per unit cost for 10,000 units and 10,050 units and its cost
For 10,000 units
Total manufacturing cost per unit = $70
Variable cost per unit = $70 × 40% = $28
Fixed cost per unit = $70 - $28 = $42
Total manufacturing cost = 10,000 × $70 = $700,000
Variable cost = 10,000 × $28 = $280,000
Fixed cost = 10,000 × $42 = $420,000
For 10,050 units
Total manufacturing cost per unit = $69.79
Variable cost per unit = $70 × 40% = $28
Fixed cost per unit = $420,000 ÷ 10,050 units = $41.79
Total manufacturing cost = 10,050 × $69.79 = $701,400
Variable cost = 10,050 × $28 = $281,400
Fixed cost = $420,000
1.The variable manufacturing cost per unit will remain the same as last month - True because the cost per unit will remain constant, but the variable cost would be different
2. The total fixed manufacturing cost will be greater than last month - False as fixed cost would remain unchanged whether production level increases or not
3. The total manufacturing cost will be greater than last month - True as the production level increased from 10,000 units to 10,050 units will increase the total manufacturing cost
4. The average fixed manufacturing cost per unit will be less than last month - True
5. The total variable manufacturing cost will be less than last month - False
6 The total manufacturing cost per unit will be greater than last month - False
7. The variable manufacturing cost per unit will equal $28 - True because $70 × 40% = $28
8. The total fixed manufacturing cost will equal $422,100 - False
9.The total manufacturing cost will equal $701,400 - True
10. The average fixed manufacturing cost per unit (rounded to the nearest cent) will equal $41.79 - True
11. The total variable manufacturing cost will equal $280,000 - False
12. The total manufacturing cost per unit (rounded to the nearest cent) will equal $69.79 - True