(Solved):Delta Company produces a single product. The cost of producing and selling a single unit of this…

 

Question

Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company’s normal activity level of 105,600 units per year is:

Direct materials $1.70
Direct labor $2.00
Variable manufacturing overhead $.80
Fixed manufacturing overhead $3.55
Variable selling and administrative expenses $1.90
Fixed selling and administrative expenses $1.00

The normal selling price is $20 per unit. The company’s capacity is 127,200 units per year. An order

Scroll to top