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Bakan Corporation has provided the following production and average cost data for two levels of monthly production volume. The company produces a single product.
Production volume 5,300units 6,300units
Direct materials$96.70per unit$96.70per unit
Direct labor$24.60per unit$24.60per unit
Manufacturing overhead$78.20per unit$71.20per unit
Question 1: The best estimate of the total variable manufacturing cost per unit is: (Round your intermediate calculations to 2 decimal places.)
Multiple Choice
Option 1: $167.90
Option 2: $177.40
Option 3: $155.40
Option 4: $121.30
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