Under absorption costing, a company had the following unit costs when 9,000 units were produced. Direct labor 7.25 per unit Direct material 8.00 per unit Variable overhead 5.50 per unit Fixed overhead ($67,500/9,000 units) 7.50 per unit Total production cost 28.25 per unit Compute the total product cost per unit under variable costing if 30,000 units had been produced.

Under absorption costing, a company had the following unit costs when 9,000 units were produced. Direct labor 7.25 per unit Direct material 8.00 per unit Variable overhead 5.50 per unit Fixed overhead ($67,500/9,000 units) 7.50 per unit Total production cost 28.25 per unit Compute the total product cost per unit under variable costing if 30,000 units had been produced.

Name: Under absorption costing, a company had the following unit costs when
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Description: Under absorption costing, a company had the following unit costs when 9,000 units were produced.Direct labor7.25per unitDirect material8.00per unitVariable overhead5.50per unitFixed overhead ($67,500/9,000 units)7.50per unitTotal production cost28.2

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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