Question & Answer: dit View Go Tools Window Help Screen Shot 2017-09-06 at 3.30.06 PM .. Search Martinez Company's relev…..

dit View Go Tools Window Help Screen Shot 2017-09-06 at 3.30.06 PM .. Search Martinez Companys relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its unit costs are as follows: Por Unit $6.00 $3.50 $1.50 $4.00 Direct materials Direct labor Variable manufacturing overhead Flxod manufacturing overhead Fixed selling expense Fbxed administrative expenise Sales commissions Variable administrative expense $3.00 $2.00 $1.00 $0.50 of Shot f-3-3 Screen Shot 2017-09. 14.51 PM 2017-05. .2.19 PM 5fl16-4.docx Shot Screen Shot 2017-090.06 PM Screen Sh Sereen Shot CSR Prompt and 2017-05...7.2 1 37 PM Rubric- Sp17 5.if 8000 units are sold, what is the total amount of variable costs related to the units sold?

dit View Go Tools Window Help Screen Shot 2017-09-06 at 3.30.06 PM .. Search Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its unit costs are as follows: Por Unit $6.00 $3.50 $1.50 $4.00 Direct materials Direct labor Variable manufacturing overhead Flxod manufacturing overhead Fixed selling expense Fbxed administrative expenise Sales commissions Variable administrative expense $3.00 $2.00 $1.00 $0.50 of Shot f-3-3 Screen Shot 2017-09. 14.51 PM 2017-05. .2.19 PM 5fl16-4.docx Shot Screen Shot 2017-090.06 PM Screen Sh Sereen Shot CSR Prompt and 2017-05…7.2 1 37 PM Rubric- Sp17

Expert Answer

 

Direct Material $ 6.00
Direct Labor $ 3.50
Variable Manufacturing Overhead $ 1.50
Variable Administrative Expense $ 0.50
Sales Commission $ 1.00
Variable Cost Per Unit $ 12.50

Total Units = 8,000 Units

Hence, Variable Cost = Variable Cost Per Unit * Total Units

= $ 12.50 * 8,000 Units

$ 100,000

Hence, the correct answer is $ 100,000

Still stressed from student homework?
Get quality assistance from academic writers!