The Unit Product Cost of a Blender Is $24

- April 16, 2022

2 24 The following information relates to the unit product cost for a product manufactured by Creamer Company. Sunland Company is unsure of whether to sell its product assembled or unassembled.

The Correct Answer Is Shown When Computing A

Otal cost oFgoods sold 849 x 24 20316.

. Direct materials Direct labor Variable overhead Fixed overhead Unit cost 15 30 18 587 In addition fixed selling costs are 500000 per year and variable selling costs are 512 per unit sold. If 900 blenders are produced and 849 blenders are sold the total cost of goods sold is 20376 DO NOT put a comma in your answer. The unit cost of the unassembled product is 24 and Sunland would sell it for 49.

_Your answer is correct. If 900 blenders are produced and 849 blenders are sold the total cost of goods sold is 20376 When units sold exceed units produced net income under variable costing will generally be _______ net income under absorption costing. The unit product cost of a blender is 24.

Transcribed image text. The cost to assemble the product is estimated at 11 per unit and the company believes the market would support a price of 54 on the assembled unit. The unit product cost of a blender is 24.

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