Corporation manufactures a gas operated barbecue grill. The following information relates to Charrd's operations for last year.

Unit product cost under absorption costing $46 per unit
Fixed manufactoring overhead cost for the year $300,000
Fixed selling and administrative cost for the year $125,000
Units (grills) produced and sold $25,000

What is the variable costing unit product cost?

Please show solution.

Quote:

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Originally Posted by bustamante71

Corporation manufactures a gas operated barbecue grill. the follwoing information relates to Charrd's operations for last year.

Unit product cost under absorption costing $46 per unit
Fixed manufactoring overhead cost for the year $300,000
Fixed selling and adminstrative cost for the year $125,000
Units (grills) produced and sold $25,000

What is the variable costing unit product cost?

Please show solution.

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now if I could only figure out what a variable unit is sorry did I say that aloud

unit cost is derived by dividing the total of variable plus fixed cost by the number of units produced

multiply the unit cost by the units produced deduct the fixed cost and divide by the number of units.


so U*UC-FC/U

really, a little thought please, you learn by doing not by having someoneelse do it