The following data have been recorded for the production of Product A-11 in the current period. Direct materials cost was $2,079. A total of 36 direct labor-hours and 179 machine-hours were worked to make the product. The direct labor wage rate is $18.00 per labor-hour. The company allocates manufacturing overhead on the basis of machine-hours. The predetermined overhead rate is $19.00 per machine-hour. The total cost for Product A-11 for the current period would be:

Wisconsin snowmobile corp. is considering a switch to level production. cost efficiencies would occur under level production, and after tax costs would decline by $36,000, but inventory would increase by $300,000. wisconsin snowmobile would have to finance the extra inventory at a cost of 13.5 percent.a. determine the extra cost or savings of switching over to level production. should the company go ahead and switch to level production? b how low would interest rates need to fall before level production would be feasible?