Question: The Foundational 1 5 ( Static ) [ LO 1 - 1 , LO 1 - 2 , LO 1 - 3 , LO 1

The Foundational 15(Static)[LO1-1, LO1-2, LO1-3, LO1-4, LO1-5, LO1-6]
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Martinez Companys relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows:
Average Cost Per UnitDirect materials$ 6.00Direct labor$ 3.50Variable manufacturing overhead$ 1.50Fixed manufacturing overhead$ 4.00Fixed selling expense$ 3.00Fixed administrative expense$ 2.00Sales commissions$ 1.00Variable administrative expense$ 0.50
Foundational 1-10(Static)
10. If 12,500 units are produced, what is the total amount of fixed manufacturing cost incurred to support this level of production?

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