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BarGraphs Corp. had capacity to produce? 4,000 units of L3 using? 40,000 kg of direct materials. BarGraphs produced? 3,850 units of L3 by processing? 35,500 kg of direct materials. Conversion cost per unit is? $7.00. BarGraphs can add or reduce manufacturing capacity in increments of? 4,500 kgs.
Problem 1: What would be the cost savings if BarGraphs decides to reduce manufacturing capacity by? 4,500 kgs?
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