Direct materials |
$16,000 |
Direct labor |
18,000 |
Variable manufacturing overhead |
10,000 |
Fixed manufacturing overhead |
25,000 |
Total costs |
$69,000 |
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admin2020-08-12 18:38:552020-08-12 18:38:55Lindon Company uses 4,500 units of Part X each year as a component in the assembly of one of its products. The company is presently producing Part X internally at a total cost of $69,000 as follows: