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Accounting Question Number 1
Martinez Company’s relevant range of production is 8,500 units to 13,500 units. When it produces and sells 11,000 units, its unit costs are as follows:
|Variable manufacturing overhead||$||1.60|
|Fixed manufacturing overhead||$||3.10|
|Fixed selling expense||$||2.10|
|Fixed administrative expense||$||2.10|
|Variable administrative expense||$||0.55|
For financial accounting purposes, what is the total amount of product costs incurred to make 11,000 units?
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