The estimated unit product cost is closest to:

A) $70.50
B) $22.50
C) $84.00
D) $61.50

Question

The estimated unit product cost is closest to:A) $70.50B) $22.50C) $84.00D) $61.50

Sashmira Brijmohan · Accepted Answer

Final Answer : C, Explanation :  To calculate the estimated unit product cost, we need to add up all the costs associated with the production (including direct materials, direct labor, and manufacturing overhead), and divide it by the number of units produced.Given the following information, we can calculate the estimated unit product cost as follows:Direct materials = $30Direct labor = $24Manufacturing overhead = $30Total cost per unit = $30 + $24 + $30 = $84Therefore, the estimated unit product cost is $84. Option C is the closest choice to this value. The estimated unit product cost is computed as follows:

The estimated unit product cost is closest to:

A) $70.50
B) $22.50
C) $84.00
D) $61.50

Definitions

Learning Objectives

Learning Objectives

Related questions