Reference no: EM133140118

Question - A company's relevant range of production is 10,000 to 15,000 units. When it produces and sells 12,000 units, its unit costs are as follows:

Amount per Unit

Direct materials $7.00

Direct labor $4.00

Variable manufacturing overhead $1.50

Fixed manufacturing overhead $5.00

Fixed selling expense $3.50

Fixed administrative expense $2.00

Sales commissions $1.00

Variable administrative expense $0.50

Required - What is the total amount of variable cost incurred if the company produces and sells 10,600 units?