Legend Inc., a jewelry manufacturer, separated variable costs from fixed costs in order to conduct CVP analysis. Total fixed costs for the period were $8,400. Total costs for the period were $20,000. Total units produced during the period were 200.
What would the variable cost per unit have been if Legend had produced 300 units?

Question

Legend Inc., a jewelry manufacturer, separated variable costs from fixed costs in order to conduct CVP analysis. Total fixed costs for the period were $8,400. Total costs for the period were $20,000. Total units produced during the period were 200. 
What would the variable cost per unit have been if Legend had produced 300 units?

Quizplus · Accepted Answer

The Answer of Legend Inc., a jewelry manufacturer, separated variable costs from fixed costs in order to conduct CVP analysis. Total fixed costs for the period were $8,400. Total costs for the period were $20,000. Total units produced during the period were 200. 
What would the variable cost per unit have been if Legend had produced 300 units?