If Variable Manufacturing Costs Are $15 Per Unit and Total

question 131

Essay

If variable manufacturing costs are $15 per unit and total fixed manufacturing costs are $200,000,what is the manufacturing cost per unit if:
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(a)20,000 units are manufactured and the company uses the variable costing concept?
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(b)25,000 units are manufactured and the company uses the variable costing concept?
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(c)20,000 units are manufactured and the company uses the absorption costing concept?
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(d)25,000 units are manufactured and the company used the absorption costing concept?

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Definitions:

Role Patterns

Established behaviors and expectations associated with specific positions or roles within an organization.

Lewin's Force Field Model

A model that describes organizational change as a state of imbalance between forces pushing for change and those resisting it.

Unfreezing

Involves the process of making an organization or individual ready for change, by breaking down existing norms and behaviors.

Refreezing

The phase in the change process where new behaviors, values, and attitudes are solidified as the new status quo.