Pacific Parts produces a single part for sale. The part sells for $30 per unit. Fixed costs

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Pacific Parts produces a single part for sale. The part sells for $30 per unit. Fixed costs are $890,000 annually. Production and sales of 270,000 units annually results in profit before taxes of $1,000,000.
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What is the unit variable cost?

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Fundamentals of Cost Accounting

ISBN: 978-1259565403

5th edition

Authors: William Lanen, Shannon Anderson, Michael Maher

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Question Posted: Oct 19, 2016 09:56 AM

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Pacific Parts produces a single part for sale. The part sells for $30 per unit. Fixed costs

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23 per unit Using the profit equation Profit P V x X FC 1000000 30 V x 270000 890000 V 6210000 27...View the full answer

Fundamentals of Cost Accounting

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