Zot-Ice Corp Calculate the Unit Product Cost Using Absorption Costing and Variable

Essay

Zot-Ice Corp.has provided the following data for the current year.
$$\begin{array} { | l | r |r| } \hline \text { Units produced } & 2,500& \text { units } \\\hline \text { Sales price } & \$ 200 &\text { per unit } \\\hline \text { Direct materials } & \$ 75 &\text { per unit } \\\hline \text { Direct labor } & \$ 65& \text { per unit } \\\hline \text { Variable manufacturing overhead } & \$ 25& \text { per unit } \\\hline \text { Fixed manufacturing overhead } & \$ 225,000& \text { per year } \\\hline \text { Variable selling and administrative costs } & \$ 30 &\text { per unit } \\\hline \text { Fixed selling and administrative costs } & \$ 150,000& \text { per year } \\\hline\end{array}$$ Calculate the unit product cost using absorption costing and variable costing.