Answer the Following Questions Using the Information Below:
Bell Company

question 144

Multiple Choice

Answer the following questions using the information below:
Bell Company sells several products. Information of average revenue and costs is as follows:
$\begin{array}{lr}\text { Selling price per unit } & \$ 28.50 \\\text { Variable costs per unit: } & \\\text { Direct material } & \$ 5.25 \\\text { Direct manufacturing labor } & \$ 1.15 \\\text { Manufacturing overhead } & \$ 0.25 \\\quad \text { Selling costs } & \$ 1.85 \\\text { Annual fixed costs } & \$ 110,000\end{array}$
$\text { The company sells } 10,000 \text { units. }$
-What is the proportion of variable costs to total costs?

• A) 45.00%
• B) 48.56%
• C) 53.56%
• D) 43.56%

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