Ex srise $5-31($Algo$)$ Methods of Estimating Costs: Account Analysis $($LO $5-1,2)$

Summit Corporation manufactures machines for the apparel industry. The production manager and cost analyst reviewed the accounts

for the previous quarter and have provided an estimated breakdown of the fixed and variable portions of manufacturing overhead:

Direct materials for the quarter amounted to $$368,500.$ Direct labor for the quarter was $$729,500.$ During the quarter, $9,500$ units were

produced.

Required:

a$.$ No changes are expected in these cost relations next quarter. The firm has budgeted production of $12,350$ units. Provide an

estimate for total production cost for next quarter.

b$.$ Determine the cost per unit of production for the previous quarter and the estimated cost per unit next quarter.

Complete this question by entering your answers in the tabs below.

No changes are expected in these cost relations next quarter. The firm has budgeted production of $12,350$ units. Provide an

estimate for total production cost for next quarter.

Note: Do not round intermediate calculations.