Question: a. Direct materials cost is $1.50 per pound. b. Total cost is fixed at $7,500 per month regardless of the number of units produced. c.

a. Direct materials cost is $1.50 per pound. b. Total cost is fixed at $7,500 per month regardless of the number of units produced. c. Auto rental has a fixed fee of $90.00 per day plus $4.00 per mile driven. d. Machine operating costs include $1,800 of maintenance per month, and $17.00 of coolant usage costs for each day the machinery is in operation. a. Direct materials cost is $1.50 per pound. b. Total cost is fixed at $7,500 per month regardless of the number of units produced. c. Auto rental has a fixed fee of $90.00 per day plus $4.00 per mile driven. d. Machine operating costs include $1,800 of maintenance per month, and $17.00 of coolant usage costs for each day the machinery is in operation
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