Question

Alpha Systems, Inc., manufactures computer keyboards. The data for the month of June is given below: Direct material per unit $10 Direct labor per unit $ 6 Variable overhead per unit $ 4 Supervisor's salary $25,000 Units produced 12,500 Calculate the variable cost per computer keyboard. a.$20 per keyboard b.$18 per keyboard c.$16 per keyboard d.$22 per keyboard

Answer 1

Answer:

a.$20 per keyboard

Explanation:

The computation of the variable cost per computer keyboard is shown below:

= Direct material per unit  + Direct labor per unit + Variable overhead per unit

= $10 per unit + $6 per unit + $4 per unit

= $20 per keyboard

Basically, we added the Direct material per unit,  Direct labor per unit, and the Variable overhead per unit so that the variable cost per computer keyboard could come