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Julian Hook Co

Question 92

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Julian Hook Co. is a large company that segments its business into cost and profit centers. The Cost center for the manufacture of Product R8D8 incurred the following costs in June:
Julian Hook Co. is a large company that segments its business into cost and profit centers. The Cost center for the manufacture of Product R8D8 incurred the following costs in June:    The R8D8 Department reports the results of production to the Sales department for the plant. Sales were 8,000 units in June. Each unit sells for $320. What were the total costs reported to the profit center in June? The R8D8 Department reports the results of production to the Sales department for the plant. Sales were 8,000 units in June. Each unit sells for $320.
What were the total costs reported to the profit center in June?

Correct Answer:

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Variable Costs per unit = $100 DL + $45 ...

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