Wooten & McMahon Enterprises produces a product with the following per-unit costs: Last year, Wooten & McMahon Enterprises produced and sold 825 units at a sales price of $74.80 each.Total selling and administrative expense was $24,200.What was the per-unit prime cost? (Note: Round your answer to two decimal places.)

A) $21.80
B) $23.50
C) $34.20
D) $11.70

Question

Wooten & McMahon Enterprises produces a product with the following per-unit costs: Last year, Wooten & McMahon Enterprises produced and sold 825 units at a sales price of $74.80 each.Total selling and administrative expense was $24,200.What was the per-unit prime cost? (Note: Round your answer to two decimal places.)

A) $21.80 
B) $23.50 
C) $34.20 
D) $11.70

Quizplus · Accepted Answer

SUPPORTING CALCULATIONS: Per-unit prime cost = Per-unit direct material cost + Per-unit direct labor cost = $13.00 + $8.80 = $21.80

Wooten & McMahon Enterprises Produces a Product with the Following