A Firm Is Reviewing a Project with a Labor Cost

Multiple Choice

A firm is reviewing a project with a labor cost of $8.90 per unit,raw materials cost of $21.63 a unit,and fixed costs of $8,000 a month. Sales are projected at 10,000 units over the three-month life of the project. What are the total variable costs of the project?

A) $216,300
B) $297,300
C) $305,300
D) $313,300
E) $329,300