Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the...
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Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the company can produce and sell 48,000 Rets per year. Costs associated with this level of production and sales are given below: Unit Total Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expense Fixed selling expense Total cost s15 $ 720,000 384,000 144,000 432,000 192,000 288,000 s 2,160,000 $ 45 The Rets normally sell for $50 each. Fixed manufacturing overhead is $432,000 per year within the range of 39,000 through 48,000 Rets per year
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