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Mentor Corp. has provided the following information for the current year: Units produced 3,500units Sale price$200per unit Direct materials$70per unit Direct labor$55per unit Variable manufacturing overhead$20per unit Fixed manufacturing overhead$350,000per year Variable selling and administrative costs$30per unit Fixed selling and administrative costs$150,000per year Calculate the unit product cost using variable costing.

Respuesta :

Answer:

the unit product cost using variable costing is $145 per unit

Explanation:

The computation of the unit product cost using variable costing is as follows:

= Direct materials per unit +  direct labor per unit + variable overhead per unit

= $70 + $55 + $20

= $145 per unit

Hence the unit product cost using variable costing is $145 per unit

We simply applied the above formula so that the correct value could come

And, the same is to be considered

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