Vista Company reports the following information. Direct materials $ 60 per unit Direct labor $ 80 per unit Variable overhead $ 60 per unit Fixed overhead $ 420,000 per year Units produced 20,000 units Compute its product cost per unit under variable costing.

Respuesta :

Its product cost per unit under variable costing is $200.

Product cost per units under variable cost

Using this formula

Product cost per units =Direct material per units+Direct labor per units +Variable overhead per units

Let plug in the formula

Product cost per units =$60+$60+80

Product cost per units =$200

Therefore Its product cost per unit under variable costing is $200.

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