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Mendel Manufacturing produces composite window frames for airline manufacturing companies. At the start of the year, the company had no beginning inventory. During the year, the company manufactured 5,000 units and sold 4,000. Direct material costs were $500,000, direct labor was $400,000, variable manufacturing overhead was $800,000, and fixed manufacturing overhead was $1,000,000.
Required
Calculate cost per unit under full costing and under variable costing.
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