Charrd Corporation manufactures a gas operated barbecue grill.The following information relates to Charrd's operations for last year: What is Charrd's variable costing unit product cost?
A)$29
B)$34
C)$58
D)$63

Question

Charrd Corporation manufactures a gas operated barbecue grill.The following information relates to Charrd's operations for last year:  What is Charrd's variable costing unit product cost?
A)$29 
B)$34 
C)$58 
D)$63

Quizplus · Accepted Answer

Unit fixed manufacturing overhead = $300,000 F1F1F1S1F1F1F10 25,000 = $12
Unit variable product cost = Unit product cost - Unit manufacturing overhead
= $46 - $12 = $34

Charrd Corporation Manufactures a Gas Operated Barbecue Grill