A manufacturing company that produces a single product has provided the followin

Question

A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations:
                                 

                    Units in beginning inventory 0
                

                    Units produced 7000
                

                    Units sold 6900
                

                    Units in ending inventory 100
                

                    Variable costs per unit:
                

                    Direct materials $46
                

                    Direct labor $41
                

                    Variable manufacturing overhead $3
                

                    Variable selling and administrative $9                 

                    Fixed costs:
                

                    Fixed manufacturing overhead $28,000
                

                    Fixed selling and administrative $75,900
                

                    What is the variable costing unit product cost for the month?
                

                                     Thanks for the help!

Explanation / Answer

Unit product cost = Direct materials + Direct labor + Variable manufacturing overhead
= $46 + $41 + $3== $90

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.