What is the unit production cost under absorption costing

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Reference no: EM132903109

Problem 1: Gumamela Company manufactures a single product. Unit variable production costs are P20 and fixed production costs are P150,000. 1.Gumamela uses a normal activity of 10,000 units. Gumamela began the year with no inventory, produced 12,000, and sold 7,500 units. What is the unit production cost under absorption costing?

Select one:

a. P32.50
b. P20.00
c. P40.00
d. P35.00

Reference no: EM132903109

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