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Calculate the Prime cost budgeted per unit costs

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Reference no: EM132441761

Question - At a production level of 5,000 units, the budgeted product cost per unit is:

Direct materials

$30

Direct labour

$10

Fixed factory overhead

$6

Variable factory overhead

$4

Total

$50

Required - Calculate the following budgeted per unit costs if expected production is 8,000 units:

(a) Prime cost.

(b) Conversion cost.

Reference no: EM132441761

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