Bitonti Corporation has provided the following data for its most recent year of operation: Manufacturing costs: Variable manufacturing cost per unit produced: Direct materials $ 9 Direct labor $ 7 Variable manufacturing overhead $ 5 Fixed manufacturing overhead per year $ 156,000 Selling and administrative expenses: Variable selling and administrative expense per unit sold $ 5 Fixed selling and administrative expense per year $ 81,000 Units in beginning inventory 0 Units produced during the year 12,000 Units sold during the year 11,000 Units in ending inventory 1,000 The unit product cost under absorption costing is closest to:
Bitonti Corporation has provided the following data for its most recent year of operation: Manufacturing costs: Variable manufacturing cost per unit produced: Direct materials $ 9 Direct labor $ 7 Variable manufacturing overhead $ 5 Fixed manufacturing overhead per year $ 156,000 Selling and administrative expenses: Variable selling and administrative expense per unit sold $ 5 Fixed selling and administrative expense per year $ 81,000 Units in beginning inventory 0 Units produced during the year 12,000 Units sold during the year 11,000 Units in ending inventory 1,000 The unit product cost under absorption costing is closest to:
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter2: Basic Cost Management Concepts
Section: Chapter Questions
Problem 22E: Ellerson Company provided the following information for the last calendar year: During the year,...
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Bitonti Corporation has provided the following data for its most recent year of operation:
| Variable manufacturing cost per unit produced: | ||
| Direct materials | $ | 9 |
| Direct labor | $ | 7 |
| Variable manufacturing |
$ | 5 |
| Fixed manufacturing overhead per year | $ | 156,000 |
| Selling and administrative expenses: | ||
| Variable selling and administrative expense per unit sold | $ | 5 |
| Fixed selling and administrative expense per year | $ | 81,000 |
| Units in beginning inventory | 0 |
| Units produced during the year | 12,000 |
| Units sold during the year | 11,000 |
| Units in ending inventory | 1,000 |
The unit product cost under absorption costing is closest to:
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