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What the average cost per unit would be

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Reference no: EM132556665

An entity prepared the following departmental overhead cost budget for 20x3 based on 10859 machine hours:

Variable overhead costs                   $21415

Fixed overhead costs                       64801

Total                                             $86216

Question 1: At a volume of 12578 machine hours, the average cost per unit would be:

Select one:

a. $6.85

b. $7.40

c. $7.12

d. $7.94

Reference no: EM132556665

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