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Pedregon Corporation has provided the following information: cost per Period Cost per Unit $7.25 $4.10 $1.50 $20,900 Direct m

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Answer #1

Total variable cost per unit=Direct materials+Direct labor+Variable manufacturing overhead+Sales commissions+Variable administrative expenses

=(7.25+4.1+1.5+0.7+0.8)=$14.35 per unit

Hence total variable costs for 5500 units=14.35*5500

=$78925

NOTE:Total fixed costs and variable cost per unit do not change with change in units

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