Asked by Dellarose Dickson on Jun 02, 2024
Verified
The unit product cost under variable costing is:
A) $169 per unit
B) $171 per unit
C) $247 per unit
D) $174 per unit
Unit Product Cost
The total cost incurred to produce, purchase, or manufacture one unit of a product, including direct material, direct labor, and manufacturing overhead.
Variable Costing
A financial recording technique that factors in only direct materials, direct labor, and variable manufacturing overhead as part of the product's costing.
- Calculate the expense per unit via variable and absorption costing practices.
Verified Answer
FP
Francisco PuentesJun 09, 2024
Final Answer :
B
Explanation :
The unit product cost under variable costing is equal to the sum of direct materials, direct labor, and variable manufacturing overhead per unit, which is ($50 + $86 + $35) = $171 per unit.
Explanation : 
Reference: CHO7-Ref4
Baughn Corporation, which has only one product, has provided the following data concerning its most recent month of operations:
Reference: CHO7-Ref4Baughn Corporation, which has only one product, has provided the following data concerning its most recent month of operations:
Learning Objectives
- Calculate the expense per unit via variable and absorption costing practices.