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# Sentry Corp.

Passage to Question 1: Sentry Corporation is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly sales volume. The company sells the product for \$84.40 per unit.

Sales Volume (units).....................................................5,000 6,000
Cost of Sales...............................................................\$285,000 \$342,000
Selling, General, and Administrative Costs.....................\$107,500 \$120,000

1. What is the best estimate of the total variable cost per unit:

A) \$77.00

B) \$57.00

C) \$69.50

D) \$78.50

#### Solution Preview

Passage to Question 1: Sentry Corporation is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly sales volume. The company sells the product for \$84.40 per unit.

Sales Volume ...

#### Solution Summary

This solution is comprised of a detailed explanation to answer what is the best estimate of the total variable cost per unit.

\$2.19