Question

Sea Company reports the following information regarding its production costs:
Units produced 42,000 units
Direct labor $35 per unit
Direct materials $28 per unit
Variable overhead $17 per unit
Fixed overhead $105,000 in total
Compute the product cost per unit under absorption costing.
A. $28.00
B. $82.50
C. $80.00
D. $63.00
E. $35.00

Answer

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