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Discuss what is the variable cost per watch

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Reference no: EM131768223

I need some help trying to figure this out, I am not sure if I did a and b correct.
Clark Inc. produces designer watches. Each watch requires the following.

Material $ 20.00
Direct Labor Hours 3
Supervisor Salary $ 30,000
Hourly wage per hour $ 5.00

If the company produces 250 watches in a year,

a What is the fixed cost per watch? 20+15+30000=30035/250=120.14 120.14

b What is the variable cost per watch? 20*250 5000

c What is the unit product cost?

Reference no: EM131768223

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