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Find what of the manufacturing costs are fixed

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Reference no: EM132661041

Pepita Manufacturing Company makes parts for the automobile industry, during August 2020, the following selected accounts summary was taken from the accounting records:

Direct Materials issued to production $900,000
Direct Labor 450,000
Indirect Labor 120,000
Manufacturing Facilities Insurance 10,000
Manufacturing utilities 35,000
Manufacturing depreciation 45,000

Production during August, 100, 000 units.

Required:

Question 1: What was the cost per unit manufactured?

Question 2: What of the manufacturing costs are fixed?

Question 3: How the fixed costs change the cost per unit manufactured?

Reference no: EM132661041

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