Claire Company manufactures organic cosmetics and has summarized the following monthly costs observed at various activity...

 

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Claire Company manufactures organic cosmetics and has summarized the following monthly costs observed at various activity levels over their first year of operations. Considering your knowledge of variable costs and fixed costs within the relevant range determined the following requirements below. Activity level Rent Expense Direct Materials 3,000 20,000 20,000 6,000 20,000 36,000 9,000 32,000 45,000 12,000 32,000 60,000 15,000 32,000 75,000 18,000 32,000 90,000 21,000 32,000 105,000 24,000 32,000 120,000 27,000 40,000 146,500 30,000 40,000 175,000 33,000 40,000 220,000 Required 7. Variable cost rate within the relevant range. 8. Fixed cost within the relevant range. Claire Company manufactures organic cosmetics and has summarized the following monthly costs observed at various activity levels over their first year of operations. Considering your knowledge of variable costs and fixed costs within the relevant range determined the following requirements below. Activity level Rent Expense Direct Materials 3,000 20,000 20,000 6,000 20,000 36,000 9,000 32,000 45,000 12,000 32,000 60,000 15,000 32,000 75,000 18,000 32,000 90,000 21,000 32,000 105,000 24,000 32,000 120,000 27,000 40,000 146,500 30,000 40,000 175,000 33,000 40,000 220,000 Required 7. Variable cost rate within the relevant range. 8. Fixed cost within the relevant range.