Sony Company incurred a fixed cost of RO 3200 for manufacturing Television. The cost of raw material is 24 RO per unit, cost of labour is RO 8 and the cost of overhead is RO 3 per unit. Sony sells 2000 Televisions. What is the total variable cost? O a. RO 73,200 O b. RO 22,000 O. RO 48,000 O d. RO 70,000

Financial And Managerial Accounting
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ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter21: Variable Costing For Management analysis
Section: Chapter Questions
Problem 4CMA: Bethany Company has just completed the first month of producing a new product but has not yet...
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Sony Company incurred a fixed cost of RO 3200
for manufacturing Television. The cost of raw
material is 24 RO per unit, cost of labour is RO 8
and the cost of overhead is RO 3 per unit. Sony
sells 2000 Televisions. What is the total variable
cost?
O a. RO 73,200
O b. RO 22,000
O c. RO 48,000
O d. RO 70,000
Transcribed Image Text:Sony Company incurred a fixed cost of RO 3200 for manufacturing Television. The cost of raw material is 24 RO per unit, cost of labour is RO 8 and the cost of overhead is RO 3 per unit. Sony sells 2000 Televisions. What is the total variable cost? O a. RO 73,200 O b. RO 22,000 O c. RO 48,000 O d. RO 70,000
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