Question

Dozier Company produced and sold 1,000 units during its first month of operations. It reported the following costs and expenses for the month: Direct materials $ 81,000 Direct labor $ 41,000 Variable manufacturing overhead $ 19,800 Fixed manufacturing overhead 31,600 Total manufacturing overhead $ 51,400 Variable selling expense $ 14,400 Fixed selling expense 22,800 Total selling expense $ 37,200 Variable administrative expense $ 5,200 Fixed administrative expense 27,400 Total administrative expense $ 32,600 Required: 1. With respect to cost classifications for preparing financial statements: a. What is the total product cost

Answer 1

Answer:

the total product cost is $153,600

Explanation:

The computation of the total product cost is as follows;

= Direct material cost + direct labor cost + total manufacturing overhead cost

= $81,000 + $41,000 + $31,600

= $153,600

Hence, the total product cost is $153,600

The other values would be ignored for determining the product cost