Answer:
$ 344,000
Explanation:
Given
Selling price $150
Units in beginning inventory 150
Units produced 7,300
Units sold 6,900
Units in ending inventory 550
Variable cost per unit:
Direct materials $48
Direct labor $43
Variable manufacturing overhead $8
Variable selling and administrative $4
Fixed costs:
Fixed manufacturing overhead $233,600
Fixed selling and administrative $82,800
To determine total period cost for the month under variable costing
We first calculate the variable selling and administrative expense and add together
=
$4 per unit × 6,900 units sold = $ 27,600
Fixed manufacturing overhead 233,600
Fixed selling and administrative 82,800
27,600 + 82,800 + 233,600
Therefoee variable costing total period cost for the month
= $ 344,000
