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McIntosh, Inc. reports the following​ information: Beginning Finished Goods Inventory 50 units Units produced 530 units Units sold 580 units Sales price $ 160 per unit Direct materials $ 29 per unit Direct labor $ 13 per unit Variable manufacturing overhead $ 12 per unit Fixed manufacturing overhead $ 19 comma 400 per year Variable selling and administrative costs $ 5 per unit Fixed selling and administrative costs $ 13 comma 500 per year What is the unit product cost using variable​ costing? (Round your answer to the nearest​ cent.) A. $ 61.60 B. $ 54.00 C. $ 121.08 D. $ 90.60

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Answer:

The correct answer is B.

Explanation:

Giving the following information:

Units produced 530 units

Direct materials $ 29 per unit

Direct labor $ 13 per unit

Variable manufacturing overhead $ 12 per unit

Under the variable costing method, the unitary variable cost is the sum of direct material, direct labor and, variable manufacturing overhead.

Unitary variable cost= 29 + 13 + 12= $54

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