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Total variable manufacturing cost per unit

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Please help with the following problem.

Belinda Corporation has provided the following production and average cost data for two levels of monthly production volume. The company produces a single product.

production volume 1,000 units 3,000 units
Direct materials $30.90 per unit $30.90 per unit
Direct labor $40.20 per unit $40.20 per unit
Manufacturing overhead $64.60 per unit $33.80 per unit

The best estimate of the total variable manufacturing cost per unit is:
A) $89.50
B) $18.40
C) $71.10
D) $30.90

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The solution explains how to get the best estimate for total variable manufacturing cost per unit.

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Problem: Belinda Corporation has provided the following production and average cost data for two levels of monthly production volume. The company produces a single product.

production volume 1,000 units 3,000 units
Direct materials $30.90 per ...

Purchase this Solution
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