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Sequoyah,Inc What Is the Unit Product Cost Using Variable Costing?
A)

question 287

Multiple Choice

Sequoyah,Inc.reports the following information:  Units produced 520 units  Units sold 520 units  Sales price $110 per unit  Direct materials $40 per unit  Direct labor $25 per unit  Variable manufacturing overhead $30 per unit  Fixed manufacturing overhead $14,000 per year  Variable selling and administrative costs $15 per unit  Fixed selling and administrative costs $25,000 per year \begin{array}{|l|l|l|}\hline\text { Units produced } & 520 & \text { units } \\\hline \text { Units sold } & 520 & \text { units } \\\hline \text { Sales price } & \$ 110 & \text { per unit } \\\hline \text { Direct materials } & \$ 40 & \text { per unit } \\\hline \text { Direct labor } & \$ 25 & \text { per unit }\\\hline \text { Variable manufacturing overhead } & \$ 30 & \text { per unit } \\\hline \text { Fixed manufacturing overhead } & \$ 14,000 & \text { per year } \\\hline \text { Variable selling and administrative costs } & \$ 15 & \text { per unit } \\\hline \text { Fixed selling and administrative costs } & \$ 25,000 & \text { per year } \\\hline\end{array} What is the unit product cost using variable costing?


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