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Harris Company manufactures and sells a single product. A partially completed schedule of the company's total costs and costs pe unit over the relevant range of 63,000 to 103,000 units is given below:
Required:
Question 1. Complete the above schedule of the company's total costs and costs per unit.
Question 2. Assume that the company produces and sells 93,000 units during the year at a selling price of $10.08 per unit. Prepare a contribution format income statement for the year.
Total costs:
Variable costs
$ 207,900
271,000
0
354,100 0
Fixed costs
480,000
480.000
480,000 0
Total costs
$ 687.900
$ 751.000
$ 834.100
Cost per unit
Variable cost
3.30
3.27
3 44 01
Fixed cost
7.62
5.78
4.67 Q
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