Please solve for UNIT VARIABLE COSTS, UNIT FIXED COSTS, TOTAL UNIT COST and If production dropped to 250,000 units, the total unit cost of producing 1 unit will go:

Select one:

a. Go Down

b. Go Up

c. Be Negative

d. Stay Same

TVC Aday Restaurant Supply produced 300,000 pots and pans last year, and incurred the following costs: Produced 300,000.00 TFC DIRECT MATERIALS $ 80,000 $ 80,000 $ LABOR COTS 120,000 $ 96,000 $ 24,000 INDIRECT 40,000 $ 24,000 $ 16,000 MATERIALS ADMINISTRATIVE 40,000 $ - $ 40,000 COSTS OTHER FIXED COSTS $ 30,000 $ - $ 30,000 A A A TOTAL COSTS 310,000 $ 200,000 $ 110,000 The management has decided the following: 1. All of Direct Materials will be considered Variable Costs 2. 80% of Labor Costs will be classified as VC and 20% as FC. 3. 40% of Indirect Materials will be classified as FC and 60% as VC. 4. All of Administrative Costs and Other Fixed Costs will be considered as FC. Using the above information, calculate: UNIT VARIABLE COSTS Select one: a. $0.67 b. $0.37 c. $0.44 d. $1.03