Ask Question
10 August, 16:05

Kaycom, Inc. reports the following information:

Units produced 510 units

Units sold 510 units

Sales price $160 per unit

Direct materials $30 per unit

Direct labor $35 per unit

Variable manufacturing overhead $20 per unit

Fixed manufacturing overhead $17,000 per year

Variable selling and administrative costs $10 per unit

Fixed selling and administrative costs $15,000 per year

What is the amount of unit product cost that will be considered for external reporting purposes? (Round any intermediate calculations and your final answer to the nearest cent.)

A.$118.33

B.$68.33

C.$98.33

D.$95.00

+2
Answers (1)
  1. 10 August, 17:47
    0
    A.$118.33

    Explanation:

    The computation of unit product cost is shown below:

    = Direct materials per unit + Direct labor per unit + Variable manufacturing overhead per unit + Fixed manufacturing overhead per unit

    where,

    Fixed manufacturing overhead per unit = $17,000 : 510 units = $33.33

    All the other items would remain the same

    Now put these values to the above formula

    So, the per unit would equal to

    = $30 + $35 + $20 + $33.33

    = $118.33
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Kaycom, Inc. reports the following information: Units produced 510 units Units sold 510 units Sales price $160 per unit Direct materials ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers