Abbitt Company, which has only one product, has provided the following data concerning its
most recent month of operations:
|
Selling price |
$142 |
|
Units in beginning inventory |
0 |
|
Units produced |
2,500 |
|
Units sold |
2,300 |
|
Units in ending inventory |
200 |
|
Variable costs per unit: |
|
|
Direct materials |
$22 |
|
Direct labor |
$57 |
|
Variable manufacturing overhead |
$1 |
|
Variable selling and administrative |
$6 |
|
Fixed costs: |
|
|
Fixed manufacturing overhead |
$82,500 |
|
Fixed selling and administrative |
$41,400 |
What is the unit product cost for the month under absorption costing?
A) $86
B) $119
C) $113
D) $80