Required information
[The following information applies to the questions displayed below.]
Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units,
its average costs per unit are as follows:
Average
Cost Per
Unit
Direct materials
$ 5.90
Direct labor
$ 3.40
Variable manufacturing overhead
$ 1.60
Fixed manufacturing overhead
$ 4.00
Fixed selling expense
$ 2.90
Fixed administrative expense
$ 2.20
Sales commissions
$ 1.20
Variable administrative expense
$ 0.45
6. If 12,500 units are produced and sold, what is the total variable cost of the units produced and sold?
Note: Do not round intermediate calculations.
Total variable cost