Variable and absorption costing

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Variable and Absorption Costing

During its first year, Walnut, Inc., showed an $36 per-unit profit under absorption costing but would have reported a total profit $32,000 less under variable costing. If production exceeded sales by 500 units and an average contribution margin of 62.5% was maintained, what is the apparent:

a. Fixed cost per unit? $ per unit

b. Sales price per unit? $ per unit

c. Variable cost per unit? $ per unit

d. Unit sales volume if total profit under absorption costing was $198,000? How many units

Reference no: EM131221952

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