Stosho Company Incurred the Following Costs in Manufacturing Desk Calculators

question 81

Multiple Choice

Stosho Company incurred the following costs in manufacturing desk calculators:
During the period, the company produced and sold 2,000 units.
$$\begin{array} { l r } \text { Direct materials } & \$ 28 \\\text { Indirect materials (variable) } & 8 \\\text { Direct labour } & 16 \\\text { Indirect labour (variable) } & 12 \\\text { Other variable factory overhead } & 20 \\\text { Fixed factory overhead } & 56 \\\text { Variable selling expenses } & 40 \\\text { Fixed selling expenses } & 28\end{array}$$
-Refer to the Figure.What is the inventory cost per unit using absorption costing?

• A)$32
• B)$84
• C)$104
• D)$140

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