Business, 10.04.2020 23:48 tsmoothb15851
"Unile Auto produces and sells an auto part for $60.00 per unit. In 2015, 100,000 parts were produced and 75,000 units were sold. Other information for the year includes:
Direct materials $20.00 per unit
Direct labor $ 4.00 per unit
Variable overhead costs $ 1.00 per unit
Sales commissions $ 6.00 per part
Fixed overhead costs $ 750,000 per year
Administrative expenses, all fixed $ 270,000 per year"
What is the inventoriable cost per unit using variable costing?
A. $20.00
B. $24.00
C, $25.00
D. $31.00
What is the inventoriable cost per unit using absorption costing?
A. $25.00
B. $31.00
C. $32.50
D. $38.50
Answers: 2
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"Unile Auto produces and sells an auto part for $60.00 per unit. In 2015, 100,000 parts were produce...
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