Arche Produces a Product with the Following Per Unit Costs

question 98

Essay

Arche produces a product with the following per unit costs.
Direct materials $17
Direct labour 11
Manufacturing overhead 12
Last year, Arche produced and sold 3,000 units at a sales price of $80 each. Total selling and administrative expenses were $25,000.
Required: Solve for the following:
A. total cost of goods sold for last year
B. operating income for last year
C. total gross margin for last year
D. prime cost per unit

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