Buttons Company produces three products: LMC, DMC, KPC. For the coming year they expect to produce 160,000 units. Of these, 65,000 will be LMC, 40,000 will be DMC and 55,000 will be KPC. The following information was provided for the coming year:
LMC DMC KPC
Price $550 $860 $625
Unit direct materials 250 405 300
Unit direct labor 180 210 205
Unit variable overhead 60 72 55
Unit variable selling expense 45 60 58
Total direct fixed overhead 240,000 425,000 400,000
Common fixed overhead is $984,000 and fixed selling and administrative expenses for Buttons Company is $881,000 per year.
Required:
A. Calculate the unit variable cost under variable costing
B. Calculate the unit variable product cost.
C. Prepare a segmented variable-costing income statement for next year.

Laval produces lamps and home lighting fixtures. its most popular product is a brushed aluminum desk lamp. this lamp is made from components shaped in the fabricating department and assembled in the assembly department. information related to the 22,000 desk lamps produced annually follows.direct materials $280,000direct labor fabricating department (8,000 dlh × $24 per dlh) $192,000assembly department (16,600 dlh × $26 per dlh) $431,600machine hours fabricating department $15,200mhassembly department $20,850mhexpected overhead cost and related data for the two production departments follow.fabricating assemblydirect labor hours 150,000dlh 295,000dlhmachine hours 161,000mh 128,000mhoverhead cost $400,000 430,000required1. determine the plantwide overhead rate for laval using direct labor hours as a base.2. determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate.3. compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department.4. use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps.