For each variable cost per unit listed below, determine the total variable cost when units produced and sold are 40, 80, and 160 units. Direct materials $ 35 Direct labor 55 Variable overhead Sales commission 11 12 Begin by calculating the total variable cost for each variable cost per unit listed, and the total variable cost when sales are 40 units. Then calculate the total variable cost when sales are 80 and 160 units, respectively Variable cost per unit Variable Cost at 40 Units Direct materials Direct labor Variable overhead $ 35 55 11 Sales commission 12 Total variable cost

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter2: Building Blocks Of Managerial Accounting
Section: Chapter Questions
Problem 5EB: Baxter Company has a relevant range of production between 15,000 and 30,000 units. The following...
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For each variable cost per unit listed below, determine the total variable cost when units produced and sold are 40, 80, and 160 units.
Direct materials
$
35
Direct labor
55
Variable overhead
Sales commission
11
12
Begin by calculating the total variable cost for each variable cost per unit listed, and the total variable cost when sales are 40 units. Then calculate the total variable cost when sales are 80 and 160 units,
respectively
Variable cost per unit
Variable Cost
at 40 Units
Direct materials
Direct labor
Variable overhead
$
35
55
11
Sales commission
12
Total variable cost
Transcribed Image Text:For each variable cost per unit listed below, determine the total variable cost when units produced and sold are 40, 80, and 160 units. Direct materials $ 35 Direct labor 55 Variable overhead Sales commission 11 12 Begin by calculating the total variable cost for each variable cost per unit listed, and the total variable cost when sales are 40 units. Then calculate the total variable cost when sales are 80 and 160 units, respectively Variable cost per unit Variable Cost at 40 Units Direct materials Direct labor Variable overhead $ 35 55 11 Sales commission 12 Total variable cost
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