MichelleEm
Jul 16, 2012, 01:39 PM
Mozena Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below for the production of 4,080 units. The utilities and maintenance costs are mixed costs.The fixed portions of these costs are $408 and $272, respectively.
Production in Units
4,080
Production Costs
Direct Materials $10,200
Direct labor 20,400
Utilities 2,448
Property taxes 1,360
Indirect labor 6,120
Supervisory salaries 2,448
Maintenance 1,496
Depreciation 3,264
Calculate the expected costs when production is 6,800 units.
Production in Units
4,080
Production Costs
Direct Materials $10,200
Direct labor 20,400
Utilities 2,448
Property taxes 1,360
Indirect labor 6,120
Supervisory salaries 2,448
Maintenance 1,496
Depreciation 3,264
Calculate the expected costs when production is 6,800 units.