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Sequoyah,Inc What Is the Unit Product Cost Using Variable Costing?
A)$60

question 130

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Sequoyah,Inc.reports the following information:  Units produced 540 units  Units sold 540 units  Sales price $160 per unit  Direct materials $30 per unit  Direct labor $15 per unit  Variable manufacturing overhead $10 per unit  Fixed manufacturing overhead $20,000 per year  Variable selling and administrative costs $5 per unit  Fixed selling and administrative costs $10,000 per year \begin{array}{|l|r|l|}\hline \text { Units produced } & 540 &\text { units } \\\hline \text { Units sold } & 540 &\text { units } \\\hline \text { Sales price } & \$ 160 &\text { per unit } \\\hline \text { Direct materials } & \$30&\text { per unit } \\\hline \text { Direct labor } & \$ 15 &\text { per unit } \\\hline \text { Variable manufacturing overhead } & \$10&\text { per unit } \\\hline \text { Fixed manufacturing overhead } & \$ 20,000 &\text { per year } \\\hline \text { Variable selling and administrative costs } & \$ 5 &\text { per unit } \\\hline \text { Fixed selling and administrative costs } & \$ 10,000 & \text { per year }\\\hline\end{array} What is the unit product cost using variable costing?

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