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: Amount Per Unit Direct materials \ $6.00 Direct labor.$3.50 Variable manufacturing overhead $1 .50 Fixed manufacturing overhead $4.00 Fixed selling expense.
$3.00 Fixed administrative expense $2.00 Sales commissions $1 .00 Variable administrative expense $0.50 Required:
1. For financial accounting purposes, what is the total amount of product costs incurred to make 10,000 units?
2. For financial accounting purposes, what is the total amount of period costs incurred to sell 10,000 units?
3. If 8,000 units are sold, what is the variable cost per unit sold?
4. If 12,500 units are sold, what is the variable cost per unit sold?
5. If 8,000 units are sold, what is the total amount of variable costs related to the units sold?
6. If 12,500 units are sold, what is the total amount of variable costs related to the units sold?
7. If 8,000 units are produced, what is the average fixed manufacturing cost per unit produced?
8. If 12,500 units are produced, what is the average fixed manufacturing cost per unit produced?
9. If 8,000 units are produced, what is the total amount of fixed manufacturing cost incurred to support this level of production?
10. If 12,500 units are produced, what is the total amount of fixed manufacturing cost incurred to support this level of production?
11. If 8,000 units are produced, what is the total amount of manufacturing overhead cost incurred to support this level of production? What is this total amount expressed on a per unit basis?