Fahey Company Manufactures a Single Product That It Sells For $\$ 25$

question 19

Multiple Choice

Fahey Company manufactures a single product that it sells for $\$ 25$ per unit. The company has the following cost structure:
$\begin{array}{|l|r|}\hline \text { Variable costs per unit: } & \\\hline \text { Manufacturing } & \$ 9 \\\hline \text { Selling and administrative } & \$ 3 \\\hline \text { Fixed costs in total } & \\\hline \text { Manufacturing } & \$ 72,000 \\\hline \text { Selling and administrative } & \$ 54,000 \\\hline\end{array}$
There were no units in beginning inventory. During the year, 18,000 units were produced and 15,000 units were sold.
-Under absorption costing,what was the unit product cost?

• A) $9.
• B) $12.
• C) $13.
• D) $16.

---

Definitions:

Clitoral Engorgement

The physiological process of the clitoris filling with blood, leading to its swelling, which can increase sensitivity and sexual arousal.

Nitric Oxide

A gaseous signaling molecule involved in many physiological and pathological processes within the body, including vasodilation and neurotransmission.

Sexual Excitement

The arousal of sexual desires and responses in the body, potentially leading to sexual activity.

Dopamine

A neurotransmitter involved in many functions, including reward, motivation, memory, attention, and even regulating body movements.