SINOVAX Instruments Co. developed the following regression equations to indicate costs at various activity levels: Direct...

 

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SINOVAX Instruments Co. developed the following regression equations to indicate costs at various activity levels: Direct labor Materials Supervision Power per machine hour = Factory supplies machine hour P4 per unit P3 per unit P5,000 P300 + P.25 per unit + P.50 = Depreciation Cequipment DepreciationCbuilding P250+ P.75 per unit P1 per P10,000 During the next period, the company anticipates production of 20,000 units and usage of 3,000 machine hours. Required: Prepare a schedule of the production costs to be incurred during the next period. SINOVAX Instruments Co. developed the following regression equations to indicate costs at various activity levels: Direct labor Materials Supervision Power per machine hour = Factory supplies machine hour P4 per unit P3 per unit P5,000 P300 + P.25 per unit + P.50 = Depreciation Cequipment DepreciationCbuilding P250+ P.75 per unit P1 per P10,000 During the next period, the company anticipates production of 20,000 units and usage of 3,000 machine hours. Required: Prepare a schedule of the production costs to be incurred during the next period.

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Step 1 Total production costs are the costs incurred for the p... View the full answer