calculate the total product cost per unit under variable costing.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 14EA: Cool Pool has these costs associated with production of 20,000 units of accessory products: direct...
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2.Given the following data, calculate the total product cost per unit under variable costing.
Direct labor
$3.50 per unit
Direct materials
$1.25 per unit
Overhead
Total variable overhead
$41,400
Total fixed overhead
$150,000
Expected units to be produced
18,000 units
a.$4.75 per unit
b.$7.05 per unit
c.$15.38 per unit
d.$13.08 per unit
e.$16 per unit
Transcribed Image Text:2.Given the following data, calculate the total product cost per unit under variable costing. Direct labor $3.50 per unit Direct materials $1.25 per unit Overhead Total variable overhead $41,400 Total fixed overhead $150,000 Expected units to be produced 18,000 units a.$4.75 per unit b.$7.05 per unit c.$15.38 per unit d.$13.08 per unit e.$16 per unit
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