Question: Beta company allocates fixed overheads based on direct labor dollars, with an allocation rate of $5 per DL. Beta sells 1,000 units of X products

Beta company allocates fixed overheads based on direct labor dollars, with an allocation rate of $5 per DL. Beta sells 1,000 units of X products per month, priced at $40 per unit.

Variable costs are:

direct materials, $10/unit,

direct labor $4/unit,

variable overhead $2/unit.

Calculate profit margin per unit of product X

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