A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: Selling price$164 Units in beginning inventory 0 Units produced 9,900 Units sold 8,800 Units in ending inventory 1,100 Variable costs per unit: Direct materials$49 Direct labor$48 Variable manufacturing overhead$10 Variable selling and administrative expense$7 Fixed costs: Fixed manufacturing overhead$297,000 Fixed selling and administrative expense$140,800 What is the total period cost for the month under variable costing

$499,400

Explanation:

Given that

Units sold = 8,800

Administrative expense = $7

Fixed manufacturing overhead = $297,000

Fixed selling and administrative expense = $140,800

The computation of total period cost using the variable costing is given below:-

Variable selling and administrative

= 8,800 × $7

= $61,600

So,

Total period cost using the variable costing

= Variable selling and administrative + Fixed manufacturing overhead + Fixed selling and administrative expense

= $61,600 + $297,000 + $140,800

= $499,400

explanation:

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