What is the variable manufacturing overhead per unit?

Nov 24, 2010
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I'm given this information in the problem.

Manufacturing Overhead (.5 machine hrs at $40/machine hr)= $20

Total manufacturing costs are applied to production at the rate of $40 per machine hour. This figure is based, in part, on budgeted yearly fixed overhead of $1,500,000 and planned production activity of 60,000 machine hours.

11,000 units are being produced

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