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In spetember aspen expects to produce 120000 widgets

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Aspen company produces widgets. Auguest budgeted production costs are below:

  • Widgets to be produced: 100,000
  • Direct Material (variable) 30,000
  • Direct Labor (variable) 50,000
  • Supplies (variable) 25,000
  • Supervision (fixed) 40,000
  • Depreciation (fixed) 30,000
  • Other (fixed) 10,000
  • Total 185,000

In Spetember, Aspen expects to produce 120,000 widgets. Assuming no structural changes, why is Aspen's budgeted production cost per widget for September?

Reference no: EM13594897

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