Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all...

 

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Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is 0 to 1,900 units, and monthly production costs for the production of 1,400 units follow. Morning Dove's utilities and maintenance costs are mixed with the fixed components shown in parentheses. Production Costs Direct materials Direct labor Utilities ($140 fixed) Supervisor's salary. Maintenance ($280 fixed) Depreciation Required: 1. Identify each cost as variable, fixed, or mixed, and express each cost as a rate per month or per unit (or combination thereof). 2. Determine the total fixed cost per month and the variable cost per unit for Morning Dove. 3. State Morning Dove's linear cost equation for a production level of 0 to1,900 units. Enter answer as an equation in the form of y=a + bx. 4. Calculate Morning Dove's expected total cost if production increased to 1,600 units per month. Enter answer as an equation in the form of y= a + bx. Required 1 Required 2 Complete this question by entering your answers in the tabs below. Production Costs Direct materials Direct labor Utilities Total Cost $1,900 7,300 630 Identify each cost as variable, fixed, or mixed, and express each cost as a rate per month or per unit (or combination thereof). Note: Round your per unit value to 2 decimal places. Supervisor's salary Maintenance Depreciation Required 3 Required 4 Behavior 2,700 520 750 Variable Variable Mixed Fixed Mixed Fixed $ $ $ $ $ $ 1.36 per Unit 5.21 per Unit 0.35 per Unit 0.00 per Unit 0.17 per Unit 0.00 per Unit Rate $ $ per Month 0 per Month per Month per Month Required 2 > per Month per Month Morning Dove Company manufactures one model of birdbath, which is very popular. Morning Dove sells all units it produces each month. The relevant range is 0 to 1,900 units, and monthly production costs for the production of 1,400 units follow. Morning Dove's utilities and maintenance costs are mixed with the fixed components shown in parentheses. Production Costs Direct materials Direct labor Utilities ($140 fixed) Supervisor's salary. Maintenance ($280 fixed) Depreciation Required: 1. Identify each cost as variable, fixed, or mixed, and express each cost as a rate per month or per unit (or combination thereof). 2. Determine the total fixed cost per month and the variable cost per unit for Morning Dove. 3. State Morning Dove's linear cost equation for a production level of 0 to1,900 units. Enter answer as an equation in the form of y=a + bx. 4. Calculate Morning Dove's expected total cost if production increased to 1,600 units per month. Enter answer as an equation in the form of y= a + bx. Required 1 Required 2 Complete this question by entering your answers in the tabs below. Production Costs Direct materials Direct labor Utilities Total Cost $1,900 7,300 630 Identify each cost as variable, fixed, or mixed, and express each cost as a rate per month or per unit (or combination thereof). Note: Round your per unit value to 2 decimal places. Supervisor's salary Maintenance Depreciation Required 3 Required 4 Behavior 2,700 520 750 Variable Variable Mixed Fixed Mixed Fixed $ $ $ $ $ $ 1.36 per Unit 5.21 per Unit 0.35 per Unit 0.00 per Unit 0.17 per Unit 0.00 per Unit Rate $ $ per Month 0 per Month per Month per Month Required 2 > per Month per Month

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Solution 1 Production Costs Direct Material Direct Labor Utilities Supervisors Salary Mainten... View the full answer