Chapter 19, Problem 2E

To determine

(1)

To compute:

The product cost per unit using variable costing.

Variable Costing:

It refers to the method of product costing in which the price of the product is calculated considering only the variable or direct costs or the cost that happened to occurred due to the product only. It is also called as marginal costing as it takes marginal costs while calculating the product cost.

To determine

(2)

The cost of ending finished goods inventory using variable costing.

To determine

(3)

The cost of goods sold using variable costing.