Essay
Digby Company manufactured and sold 37,000 units of its product at a price of $93 per unit.Total variable cost per unit is $60,consisting of $58 in variable production cost and $2 in variable selling and administrative cost.Fixed costs of manufacturing are $350,000.
a.Compute the manufacturing margin for the company under variable costing.
b.Compute the contribution margin based on this data.
c.Compute the gross margin under absorption costing.
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a.($93 - $58)× 37,000 units = ...View Answer
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