Assuming that the company uses variable costing

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McIntyre Manufacturing produces a single product. Last year, the company produced 20,000 units, out of which 18,000 were sold. There were no units in beginning inventory. The company had the following costs:

Variable Costs per unit

Production   $10.00

S&A             $4.00

Fixed Costs (total)

Production     $40,000

S&A               $20,000

Required:

A. Calculate McIntyre's product cost per unit, assuming that the company uses variable costing.

Reference no: EM13752921

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