Question

Reliance Corporation sold 5,000 units of its product at a price of $25 per unit. Total...

Reliance Corporation sold 5,000 units of its product at a price of $25 per unit. Total variable cost per unit is $13.50, consisting of $12.90 in variable production cost and $0.60 in variable selling and administrative cost. Compute the contribution margin for the company.

Multiple Choice

  • $57,500

  • $67,500

  • $125,000

  • $64,500

  • $70,500

    Shore Company reports the following information regarding its production cost.

    Units produced 48,000 units
    Direct labor $ 43 per unit
    Direct materials $ 44 per unit
    Variable overhead $ 10 per unit
    Fixed overhead $ 114,920 in total


    Compute product cost per unit under absorption costing.

    Multiple Choice

  • $93.00

  • $99.39

  • $87.00

  • $43.00

  • $44.00

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