Answer the following questions using the information below:
The East Company manufactures several different products. Unit costs associated with Product ORD210 are as follows:
$$\begin{array} { l r }
\text { Direct materials } & \$ 54 \
\text { Direct manufacturing labor } & 8 \
\text { Variable manufacturing overhead } & 11 \
\text { Fixed manufacturing overhead } & 25 \
\text { Sales commissions ( } \% \text { of sales) } & 5 \
\text { Administrative salaries } & 12 \
\quad \text { Total } & \$ 115
\end{array}$$
-What is the percentage of the total variable costs per unit associated with Product ORD105 with respect to total cost?
A) 72%
B) 68%
C) 75%
D) 70%

Question

Answer the following questions using the information below:
The East Company manufactures several different products. Unit costs associated with Product ORD210 are as follows:
 $$\begin{array} { l r } 
\text { Direct materials } & \$ 54 \
\text { Direct manufacturing labor } & 8 \
\text { Variable manufacturing overhead } & 11 \
\text { Fixed manufacturing overhead } & 25 \
\text { Sales commissions ( } \% \text { of sales) } & 5 \
\text { Administrative salaries } & 12 \
\quad \text { Total } & \$ 115
\end{array}$$
-What is the percentage of the total variable costs per unit associated with Product ORD105 with respect to total cost?
A) 72%
B) 68%
C) 75%
D) 70%

Quizplus · Accepted Answer

Total variable costs per unit = Direct materials + Direct manufacturing labor + Variable manufacturing overhead = $54 + $8 + $11 = $73Total cost per unit = $115Percentage of total variable costs per unit with respect to total cost = (Total variable costs per unit / Total cost per unit) * 100% = ($73 / $115) * 100% = 72%

Answer the Following Questions Using the Information Below: the East

Answer the Following Questions Using the Information Below:
the East