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Allushta [10]
3 years ago
8

Doggie Pals produces​ 110,000 dog collars each month that give off a fresh scent to keep your dog smelling clean between baths.

Total manufacturing costs are​ $200,000. Of this​ amount, $100,000 are variable costs. What are the total production costs when​ 125,000 collars are​ produced? (Assume both production levels are in the same relevant​ range.)
Business
1 answer:
bixtya [17]3 years ago
6 0

Answer:

$213,636.36

Explanation:

The fixed cost is usually the same for a range of activity levels while the variable cost changes as the number of units produced or activity level changes.

Given that at a level of 110,000 dog collars, $100,000 are variable costs. Then

Variable cost per dog collar = $100,000/110,000

= $0.91

Fixed cost  = $200000 - $100000

= $100,000

Where 125,000 collars are​ produced,

Total production cost = $100,000 + (125,000 × 0.91)

= $213,636.36

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ivann1987 [24]

Answer:

Explanation:

The journal entry is shown below:

On September 30

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The computation is shown below:

For cash

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3 years ago
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Lyrx [107]

Answer: B: a degree

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