Direct materials per unit Direct labor per unit Variable overhead per unit Variable selling and administrative expenses $80 per unit $60 per unit $25 per unit $50 per unit $100,000 $300,000 Fixed overheads Fixed selling and administrative expenses

Direct materials per unit Direct labor per unit Variable overhead per unit Variable selling and administrative expenses $80 per unit $60 per unit $25 per unit $50 per unit $100,000 $300,000 Fixed overheads Fixed selling and administrative expenses

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter15: Introduction To Managerial Accounting

Section: Chapter Questions

Problem 3CMA: A firm has 100,000 in direct materials costs, 50,000 in direct labor costs, and 80,000 in overhead....

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Question

Direct materials per unit
Direct labor per unit
Variable overhead per unit
Variable selling and administrative expenses
$80 per unit
$60 per unit
$25 per unit
$50 per unit
$100,000
Fixed overheads
Fixed selling and administrative expenses
$300,000
If the company produced and sold 50,000 units of Product M during the year, then the total
period cost under variable costing would be:
a. $8,250,000
b. $2,900,000
c. $2,800,000
d. $2,750,000

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