Use the information below to answer the following question(s).
Consider the following data of the Vancouver Company for the year 20X4:

-What is the unit cost for the plant leasing costs for 20x4 assuming plant leasing costs are for the production of 1,014,000 units?
A) $0.119
B) $0.118
C) $0.110
D) $0.900
E) $0.943

Question

Use the information below to answer the following question(s).
Consider the following data of the Vancouver Company for the year 20X4:
 
-What is the unit cost for the plant leasing costs for 20x4 assuming plant leasing costs are for the production of 1,014,000 units?
A) $0.119 
B) $0.118 
C) $0.110 
D) $0.900 
E) $0.943

Quizplus · Accepted Answer

To calculate the unit cost, we need to divide the total cost by the number of units produced. From the given information,
Plant leasing costs = $120,000
Units produced = 1,014,000
Unit cost = Plant leasing costs / Units produced
= $120,000 / 1,014,000
= $0.118 (rounded to three decimal places)
Therefore, the unit cost for the plant leasing costs for 20x4 assuming plant leasing costs are for the production of 1,014,000 units is $0.118. The best choice is option B.

Use the Information Below to Answer the Following Question(s)