Assume the following information for a company that produced 10,000 units and sold 8,000 units during its first year of operations and produced 8,000 units and sold 10,000 units during its second year of operations: Per Unit $ 200 $ 76 $ 50 Per Year Selling price Direct materials Direct labor Variable manufacturing overhead Sales commission Fixed manufacturing overhead Using absorption costing, what is the unit product cost for units produced during the second year of operations? $9 $8 $ 300,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Assume the following information for a company that produced 10,000 units and sold 8,000 units during its first year of operations and produced 8,000 units and sold 10,000 units during its second year of
operations:
Selling price
Direct materials
Direct labor
Per Unit Per Year
$ 200
$ 76
$ 50
Variable manufacturing overhead
Sales commission
Fixed manufacturing overhead
Using absorption costing, what is the unit product cost for units produced during the second year of operations?
$9
$8
$ 300,000
Transcribed Image Text:Assume the following information for a company that produced 10,000 units and sold 8,000 units during its first year of operations and produced 8,000 units and sold 10,000 units during its second year of operations: Selling price Direct materials Direct labor Per Unit Per Year $ 200 $ 76 $ 50 Variable manufacturing overhead Sales commission Fixed manufacturing overhead Using absorption costing, what is the unit product cost for units produced during the second year of operations? $9 $8 $ 300,000
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