Dynacan Ltd. manufactured 10,000 units of product last year and identified the following manufacturing and overhead costs.
Question:
Materials used in manufacturing (V) ……………………………………. $50,400,000
Wages paid to production workers (V) ………………………………….. 93,000,000
Wages paid to management and salaried employees (F) ………………… 22,200,000
Other materials and supplies (V) ………………………………………… 16,000,000
Power to run plant equipment (V) ……………………………………….. 14,200,000
Other utilities (F) ………………………………………………………… 19,200,000
Depreciation (straight line) on plant and equipment (F) …………………. 9,600,000
Property taxes (F) ………………………………………………………… 5,000,000
If unit variable costs and fixed costs remain unchanged, calculate the total cost to produce 9700 units this year.
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