Variable cost per unit is budgeted to be $8.00 and fixed cost per unit is budgeted to be $5.00 in a period when 4,000 units are produced.If production is actually 5,100 units, what is the expected total cost of the units produced?
A)$52,000
B)$60,800
C)$66,300
D)$40,800

Question

Quizplus · Accepted Answer

Total cost = (Variable cost per unit * Actual units produced) + (Fixed cost per unit * Actual units produced)= ($8.00 * 5,100) + ($5.00 * 5,100)= $40,800 + $25,500= $66,300

Variable Cost Per Unit Is Budgeted to Be $8