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Company X produces product P. Each product is sold for $170. Actual fixed costs ...
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Company X produces product P. Each product is sold for $170. Actual fixed costs are the same as the amount fixed costs budgeted for the month. In March, Company X provided the following information:
- production: 6000 units
- sales: 4500 units
- ending inventory: 1500 units
- Variable manufacturing costs | $127 per unit |
- Fixed manufacturing costs | $ 84776 per month |
- Fixed administrative costs | $ 21000 per month |
Company also incurs a sales commission of $20 per unit.
What is the gross margin per unit when using absorption costing?
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