Assignment: The Pacific Company manufactures a single product. The following data relate to the year just completed:
Variable cost per unit:
Production $43
Selling and administrative $15
Fixed costs in total:
Production $145,000
Selling and administrative $ 95,000
During the last year, 5,000 units were produced and 4,800 units were sold. There were no beginning inventories.
Question: Under variable costing, the unit product cost would be:
A) $91.00. C) $58.00.
B) $72.00. D) $43.00.