Dake Corporation's relevant range of activity is 2,000 units to 6,000 units. When it produces and sells 4,000 units, its average costs per unit are as follows:  Average Cost per UnitDirect materials$6.55Direct labor$3.50Variable manufacturing overhead$1.40Fixed manufacturing overhead$2.60Fixed selling expense$0.70Fixed administrative expense$0.40Sales commissions$1.50Variable administrative expense$0.45 If 3,000 units are produced, the total amount of direct manufacturing cost incurred is closest to:

A. $42,150
B. $34,650
C. $30,150
D. $34,350


Answer: C

Business

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