Arche Produces a Product with the Following Per Unit Costs $\begin{array}{lr}\text { Direct materials } & \$ 17 \\\text { Direct labour } & 11 \\\text { Overhead } & 12\end{array}$

question 64

Essay

Arche produces a product with the following per unit costs.
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:
$\begin{array}{lr}\text { Direct materials } & \$ 17 \\\text { Direct labour } & 11 \\\text { Overhead } & 12\end{array}$ 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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Definitions:

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Language Acquisition Device

A theoretical component of the human brain hypothesized by Noam Chomsky to enable the innate ability of language learning in infants and children.

Chomsky

Refers to Noam Chomsky, an influential American linguist, philosopher, cognitive scientist, and social critic known for his theories on language acquisition and syntax.