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The Following Information Refers to the Cowan Company's Past Year

Question 101

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The following information refers to the Cowan Company's past year of operations.
The following information refers to the Cowan Company's past year of operations. *Common overhead totals $50,000 and is divided equally between the two products. **Common fixed selling totals $60,000 and is divided equally between the two products. Budgeted fixed overhead for the year of $180,000 equalled actual fixed overhead. Fixed overhead is assigned to products using a plant-wide rate based on expected direct labour hours, which were 150,000. The company had 5,000 of Product B in inventory at the beginning of the year. These units had the same unit cost as the units produced during the year. -The unit product cost for Product B using variable costing is A) $2.15. B) $2.45. C) $2.80. D) $3.04. The following information refers to the Cowan Company's past year of operations. *Common overhead totals $50,000 and is divided equally between the two products. **Common fixed selling totals $60,000 and is divided equally between the two products. Budgeted fixed overhead for the year of $180,000 equalled actual fixed overhead. Fixed overhead is assigned to products using a plant-wide rate based on expected direct labour hours, which were 150,000. The company had 5,000 of Product B in inventory at the beginning of the year. These units had the same unit cost as the units produced during the year. -The unit product cost for Product B using variable costing is A) $2.15. B) $2.45. C) $2.80. D) $3.04. The following information refers to the Cowan Company's past year of operations. *Common overhead totals $50,000 and is divided equally between the two products. **Common fixed selling totals $60,000 and is divided equally between the two products. Budgeted fixed overhead for the year of $180,000 equalled actual fixed overhead. Fixed overhead is assigned to products using a plant-wide rate based on expected direct labour hours, which were 150,000. The company had 5,000 of Product B in inventory at the beginning of the year. These units had the same unit cost as the units produced during the year. -The unit product cost for Product B using variable costing is A) $2.15. B) $2.45. C) $2.80. D) $3.04. *Common overhead totals $50,000 and is divided equally between the two products.
**Common fixed selling totals $60,000 and is divided equally between the two products.
Budgeted fixed overhead for the year of $180,000 equalled actual fixed overhead. Fixed overhead is assigned to products using a plant-wide rate based on expected direct labour hours, which were 150,000. The company had 5,000 of Product B in inventory at the beginning of the year. These units had the same unit cost as the units produced during the year.
-The unit product cost for Product B using variable costing is


A) $2.15.
B) $2.45.
C) $2.80.
D) $3.04.

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