Answer: Total cost = $564,300,000
Total cost per unit = $5.7
Explanation:
Given that,
Fixed manufacturing, selling and administrative costs = $19.8 million per year
Variable cost of making and selling each can of paint = $5.50
company's assets = $ 43 million
Annual return on company's assets = 15%
(1) Units produce = 99 million cans of paint
Variable cost = variable cost of each can × No. of units selling and making
= $5.50 × 99,000,000
= $544,500,000
Total cost = Variable cost + Fixed cost
= $544,500,000 + $19,800,000
= $564,300,000
(2)


= $5.7 per unit