loader  Loading... Please wait...

Question(s) / Instruction(s):

Honda Heaven produces and sells an auto part for $20.00 per unit. Direct materials are $8.00 per unit, while direct manufacturing labor averages $1.50 per unit. Variable overhead is $0.50 per unit and fixed overhead is $250,000.00 per year. Administrative expenses, all fixed, run $90,000.00 per year, with sales commissions of $2.00 per part. Production is 100,000 parts per year. This year, 75,000 parts were sold. What is the inventory cost per part using variable costing?

a.            $10.00

b.            $12.00

c.             $14.50

d.            $16.50

e.            $9.50

Find Similar Answers by Subject


Student Reviews

Rate and review your solution! (Please rate on a Scale of 1 - 5. Top Rating is 5.)


Expert's Answer
Download Solution:
$1.79

This solution includes:

  • Plain text
  • Cited sources when necessary
  • Attached file(s)
  • Solution Document(s)

You Recently Viewed...



Reach Us

408-538-8534

20-3582-4059

39-008-4233

+1-408-904-6494