8. Given the following data, calculate product cost per unit under variable costing. Direct labor $7 per unit Direct materials $1 per unit Overhead Total variable overhead $20,000 Total fixed overhead $90,000 Expected units to be produced 40,000 units

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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8. Given the following data, calculate product cost per unit under variable costing.
Direct labor
$7 per unit
Direct materials
$1 per unit
Overhead
Total variable overhead
$20,000
Total fixed overhead
$90,000
Expected units to be produced
40,000 units
A. $8 per unit
B. $8.50 per unit C. $10.25 per unit D. $10.75 per unit E. $12 per unit
Transcribed Image Text:8. Given the following data, calculate product cost per unit under variable costing. Direct labor $7 per unit Direct materials $1 per unit Overhead Total variable overhead $20,000 Total fixed overhead $90,000 Expected units to be produced 40,000 units A. $8 per unit B. $8.50 per unit C. $10.25 per unit D. $10.75 per unit E. $12 per unit
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