Time Again, LLC produces and sells a mantel clock for $100 per unit. In 2017, 42,125 clocks were produced and 37,958 were sold. Other information for the year includes: Direct materials $43 per unit Direct manufacturing labor $5 per unit Variable manufacturing costs $3.50 per unit Sales commissions $14.50 per part Fixed manufacturing costs $65.00 per unit Administrative expenses, all fixed $37.50 per unit What is the inventoriable cost per unit using variable costing

Inventoriable cost per unit = $51.5 per unit

Explanation:

Given:

Sale price = $100 per unit

Number of units produced = 42,125

Number of units Sold = 37,958

Direct materials = $43 per unit

Direct manufacturing labor = $5 per unit

Variable manufacturing costs = $3.50 per unit

Sales commissions = $14.50 per part

Fixed manufacturing costs = $65.00 per unit

Administrative expenses all fixed = $37.50 per unit

Find:

Inventoriable cost per unit using variable costing = ?

Computation:

Inventoriable cost per unit = Direct materials + Direct manufacturing labor + Variable manufacturing costs

Inventoriable cost per unit = $43 + $5 + $3.50

Inventoriable cost per unit = $51.5 per unit

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