Ch. 6 Smartbook

Put'er There manufactures baseball gloves that require $22 of direct materials and $18 of direct labor. Variable manufacturing overhead cost is $7 per glove and fixed manufacturing overhead cost is $19,000 in total. Variable selling and administrative costs are $11 per unit sold and fixed selling and administrative costs are $13,200. Last period, 800 gloves were produced, and 585 gloves were sold. The unit product cost using variable costing is _______.

$47.00 (Unit product cost using variable costing = Direct materials + Direct labor + Variable manufacturing overhead.

Blissful Breeze manufactures and sells ceiling fans. Each fan has a unit product cost of $112 and a unit selling price of $190. If Blissful Breeze produces 900 fans and sells 842 fans this month, the total cost of goods sold will be $________________

94,304 - Total Cost of Goods Sold = (Number of Cieling Fans x Cost Per Unit)

Under variable costing the cost of a unit of inventory does not contain _________.

Fixed Manufacturing Overhead

How to calculate the unit product cost using variable costing?

The unit product cost using variable costing = Direct materials + Direct labor + Variable manufacturing overhead.