Exercise 10-15 Product pricing using variable costs LO P1 Rios Co. makes drones and uses the variable cost approach in setting product prices. Its costs for producing 29,000 units follow. The company targets a profit of $309,000 on this product. Variable Costs per Unit Direct materials $ 79 Direct labor 49 Overhead 34 Selling 24 Fixed Costs Overhead $ 679,000 Selling 314,000 Administrative 294,000 1. Compute the variable cost per unit. 2. Compute the markup percentage on variable cost. (Round percentage answer to 2 decimal places.) 3. Compute the product's selling price using the variable cost method. 1. 2. 3. Variable cost per unit Markup percentage Selling price %