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Question - The Widget Company makes widgets. During the current month, direct materials costing $140,000 were put into production. Direct labour costs of $100,000 were incurred and manufacturing overhead equalled $75,000. Selling and administrative expenses totalled $25,000 for the month, and the company manufactured 6,500 widgets. Assume there was no beginning inventory and that 5,000 fishing rods were sold.
Required - Show all your calculations
A. Calculate the per-unit product cost.
B. Calculate the per-unit prime cost.
C. Calculate the per-unit conversion cost.
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