Glass House Manufacturing Currently Produces 1,000 Glasses Per Month The Plant Has Capacity for 2,000 Glasses

question 53

Essay

Glass House Manufacturing currently produces 1,000 glasses per month.The following per unit data for thousand apply for sales to regular customers:
$$\begin{array} { l r } \text { Direct materials } & \$ 250 \\\text { Direct manufacturing labor } & 40 \\\text { Variable manufacturing overhead } & 70 \\\text { Fiæed manufacturing overhead } & \underline { 50 } \\ { \text { Total manufacturing costs } } & \$ 410 \\\hline\end{array}$$ The plant has capacity for 2,000 glasses.Plant supervisor's salary is $15,000.
Required:
a.What is the total cost of producing 1,000 glasses?
b.What is the total cost of producing 1,500 glasses?
c.What is the per unit cost when producing 1,500 glasses?

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Definitions:

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The area of the lower, back part of the brain involved in coordination and balance.

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