Given the Following Data, Total Product Cost Per Unit Under

question 114

True/False

Given the following data, total product cost per unit under absorption costing will be $400 greater than total product cost per unit under variable costing.
$$\begin{array} { | l | c | } \hline \text { Direct labor } & \mathbf { \$ 1 . 5 0 p e r ~ u ni t ~ } \\\hline \text { Direct rmaterials } & \$ 1.50 \mathrm { per } \text { unit } \\\hline \text { Overhead } & \\\hline \text { Total variable overhead } & \$ 900,000 \\\hline \text { Total fixed overhead } & \$ 1,200,000 \\\hline & \\\hline \text { Expected urits to be produced } & \mathbf { 3 , 0 0 0 } \text { units } \\\hline\end{array}$$

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