Ask Question
21 July, 05:26

MC Qu. 86 Urban Company reports the following ... Urban Company reports the following information regarding its production cost: Units produced 36,000 units Direct labor $ 29 per unit Direct materials $ 34 per unit Variable overhead $ 236,000 in total Fixed overhead $ 126,000 in total Compute production cost per unit under variable costing.

+3
Answers (1)
  1. 21 July, 07:23
    0
    Production cost per unit (under variable cost) = $69.55

    Explanation:

    Given:

    Total unit produced = 36,000

    Direct labor = $29 per unit

    Direct material = $34 per unit

    Variable overhead = $236,000

    Total Fixed overhead = $126,000

    Computation:

    Variable Overhead per unit = $236,000 / 36,000 = $6.55

    Production cost per unit (under variable cost) = Direct Labor per unit + Direct material per unit + Direct Variable Overhead per unit

    Production cost per unit (under variable cost) = $29 + $34 + $6.55

    Production cost per unit (under variable cost) = $69.55
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “MC Qu. 86 Urban Company reports the following ... Urban Company reports the following information regarding its production cost: Units ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers