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Evanson Company expects to produce 512,000 units of their product during the year. Monthly...

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Accounting

Evanson Company expects to produce 512,000 units of their product during the year. Monthly production is expected to range from 40,000 to 80,000 units. The company has budgeted manufacturing costs per unit to be as follows:

Direct materials $ 7
Direct labor 8
Variable manufacturing overhead 9
Fixed manufacturing overhead 3

Prepare a flexible manufacturing budget using 20,000 unit increments.

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