Santa Company Provided the Following Information Regarding Its Only Product--Skateboards

question 125

Multiple Choice

Santa Company provided the following information regarding its only product--skateboards. $$\begin{array} { l r } \text { Direct materials used } & \$ 450,000 \\\text { Direct labor } & 170,000 \\\text { Fixed overhead } & 80,000 \\\text { Variable overhead } & 20,000 \\\text { Variable selling and administrative } & 40,000 \\& \\\text { Units produced and sold } & 40,000\end{array}$$ The manufacturing cost per unit by using the absorption approach is _____.

• A)$13.00
• B)$13.50
• C)$14.75
• D)$18.00

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Definitions:

Original Jurisdiction

The authority of a court to hear a case for the first time, as opposed to appellate jurisdiction.

Extended Warranty

is an additional warranty that provides continued coverage for repairs and maintenance beyond the original warranty.

Appellant

A party who appeals a lower court's decision, seeking a higher court's review.

Respondent

The party against whom a legal action is taken or who replies to a claim in a court process.