Hadley Corporation, which has only one product, has provided the following data

Question

Hadley Corporation, which has only one product, has provided the following data concerning its most recent month of operations Selling price $170 Units in beginning inventory Units produced Units sold Units in ending inventory 100 2,130 870 1,360 Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense $ 75 $ 30 $ 10 $ 13 Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expense $27,690 $17,400 What is the total period cost for the month under variable costing? Prex 17 of 27 Next >

Explanation / Answer

Calculate total period cost under variable costing :

Variable selling and administrative expenses (870*13) 11310 Fixed selling and administrative expenses 17400 Fixed manufacturing overhead 27690 Total period cost under variable costing 56400

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