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What is the maintenance cost per unit produced

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Question - Brittany Inc. manufactures fanny packs. Based on past experience, the company has found that total maintenance costs can be represented by the following formula:

Maintenance costs = $12,000 + $2.50 X

where X = the number of machine hours. Last year, the company produced 16,000 fanny packs.

Actual maintenance costs for the year were as expected.

What is the total maintenance costs incurred by the company last year?

What is the total fixed maintenance costs incurred last year?

What is the total variable maintenance costs incurred last year?

What is the maintenance cost per unit produced?

What is the fixed maintenance cost per unit?

What is the variable maintenance costs per unit?

Reference no: EM133186308

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