Accounting
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Title: Accounting

Essay Details:

Subject: Business
Author: Walter P
Date: March 6, 2016
Level:
Grade: A
Length: 2 / 315

Essay text:

Since we are staying with the relevant range the total fixed cost will not change with the change in units sold (Horngren et al., 2008). Requirement # (2) at 1,000 Units The cost per unit of the material is: .65 cents per unit ($650/1,000 units). The cost per unit for rent is: $9.00 per unit ($9,000/1000 units) Total variable cost .65 x 1,000= 650 Total fixed cost = 9,000 Total fixed and variable = 9,650 Requirement # (3) at 6,000 Units Variable cost per unit is .65 (it does not change) Total of variable cost = .65 cost per unit x 6,000 total units = $3,900 Unit cost of fixed cost = $9,000/6,000 Units = 1...

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