The Manufacturing Cost of Prancer Industries for Three Months of the Year

question 206

Multiple Choice

The manufacturing cost of Prancer Industries for three months of the year are provided below: Using the high-low method, the variable cost per unit, and the total fixed costs are:

• A) $32.30 per unit and $77,520 respectively.
• B) $33 per unit and $21,100 respectively.
• C) $32 per unit and $76,800 respectively.
• D) $32.30 per unit and $22,780 respectively.

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Definitions:

Hacksaws

A type of saw with a fine-toothed blade under tension in a frame, used primarily for cutting metal.

Center Punch

A tool with a pointed end used for making indentations in materials such as metal or wood, usually as a guide for drilling.

Diamond Point

A type of sharp-pointed tool tip, often used for precision work or engraving, characterized by its extremely hard material, typically diamond.

Aligning Punch

A tool used to align holes before inserting fasteners, ensuring proper alignment of components.