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1. Miller Metal Co. makes a single product that sells for $40.5 per unit. Variable costs are $26.2 per unit, and fixed costs total $65,975 per month. Required: a. Calculate the number of units that must be sold each month for the firm to break even. (Do not round your intermediate calculations.) Break-even volume Units b. Assume current sales are $405,000. Calculate the margin of safety and the margin of safety ratio. Margin of safety Margin of safety ratio % 2. A department of AIpha Co. incurred the following costs for the month of September. Variable cost, and the variable portion of mixed cost, are a function of the number of units of activity: Activity level in units 4,500 Variables costs 9,900 Fixed cost 31,000 Mixed costs 16,220 Total costs $57,120 During October the activity level was 9,400 units, and the total costs incurred were $69,500. Required: a. Calculate the variable costs, fixed costs, and mixed costs incurred during October. (Do not round Intermediate calculations.) October Variable cost Fixed cost Mixed cost b. Use the high-low method to calculate the cost formula for mixed cost. (Do not round intermediate calculations and round your answers to two decimal places.) Cost formula + Per unit
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