Determine the total variable production cost assuming that


The following variable production costs apply to goods made by Watson Manufacturing Corporation.

Item Cost per Unit

Materials ............ $5.00
Labor .................. 2.50
Variable overhead ... 0.25
Total .................. $7.75

Required

Determine the total variable production cost, assuming that Watson makes 5,000, 15,000, or 25,000 units.

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Accounting Basics: Determine the total variable production cost assuming that
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