If 19,000 units are produced, what are the per unit manufacturing overhead costs incurred

Answers

$117,000

Explanation:

Manufacturing overhead is also known as the production overhead. It can be estimated by the adding the variable manufacturing overhead to the fixed manufacturing overhead. Therefore:

Fixed manufacturing overhead is equivalent to the cost of the fixed units (i.e. 15,000 units) = $4*15000 = $60000

Variable manufacturing overhead is equivalent to the cost of the variable units (i.e. 19000 units) = $3*19000 = $57000

Total manufacturing overhead = $60000 + $57000 = $117000



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