Nepal is multi media is co on of this
Answer:
$12.50
Explanation:
Variable costs are those costs which changes with the change in activity driving the cost (Sales. production etc.). It can be direct or indirect costs.
Whereas fixed costs are those costs which remains constant and do not change with the change in activity.
All the following costs are variable costs
Average Cost per Unit
Direct materials $6.45
Direct labor $3.30
Variable manufacturing overhead $1.25
Sales commissions $1.00
Variable administrative expense <u>$0.50</u>
Total variable cost per unit <u>$12.50</u>
All the following costs are fixed costs.
Fixed manufacturing overhead $3.00
Fixed selling expense $1.05
Fixed administrative expense $0.60