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Hayes Inc. provided the following information for the current year:
Beginning inventory 240units
Units produced 890units
Units sold 939units
Selling price$290/unit
Direct materials$49/unit
Direct labor$30/unit
Variable manufacturing overhead$29/unit
Fixed manufacturing overhead$40,940/yr
Variable selling/administrative costs$22/unit
Fixed selling/administrative costs$29,500/yr
Question 1: What is the unit product cost for the year using variable costing?
Multiple Choice
Option 1: $108
Option 2: $130
Option 3: $198
Option 4: $154
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