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Business, 05.11.2019 02:31 NicoleParker

The following manufacturing costs were incurred by the miracle mile company in 2019: direct materials $ 225,000 direct labor 350,000 manufacturing overhead 470,000 these costs were incurred to produce 50,000 units of product. variable manufacturing overhead was 70% of the direct materials cost. in 2020, the direct material and variable overhead costs per unit will increase by 12%, but the direct labor costs per unit are not expected to change. fixed manufacturing costs are expected to increase by 8%. required: (a.) prepare a cost estimate for an activity level of 40,000 units of product in 2020. (b.) determine the total product costs per unit for 2019 and 2020.

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