Please solve and explain: The following information applies to the questions dis

Question

Please solve and explain:

The following information applies to the questions displayed below.) Martinez Company's relevant range of production is 8,500 units to 13,500 units. When it produces and sells 11,000 units, its unit costs are as follows Direct materials Direct labor Varlable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commisslons Varlable administrative expense Amount Per Unit $ 5.10 $2.60 $1.60 $ 3.10 $ 210 2.10 $1.10 $0.55

Explanation / Answer

8. Fixed manuacturing overhead = $3.10 × 11,000 units = $34,100

Average fixed manufacturing cost per unit = Fixed manuacturing overhead / Units produced = $34,100 / 13,000 units = $2.62

9. Total fixed manuacturing overhead = $3.10 × 11,000 units = $34,100

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