Search. Connect Help Save & Exit Integration Exercise 7 Normal Costing versus Actual Costing (LO 2-1, LO 2-2, LO 2.3, LO 3-3, LO 3-4, LO 6-1, LO 6-2) Darwin Company manufactures only one product that it sells for $200 per unit The company uses plantwide overhead cost allocation based on the number of units produced. It provided the following estimates at the beginning of the year , 000 S1,000, 000 Nunber of units produced Total Variable manufacturing overhead per unit produced Eixed manufacturing overhead costs 12 the company had no beginning inventories of any kind and no ending raw materials or Durinig the year, the company had no raw materials were used ini production as units. In response to the declne year were as follows work in process inventories A direct matenals An unexpected business downturn caused annual sales to drop to 32,000 in sales. Darwin decreased its annual production to 40,000 units The company's actual costs for the rlable costs per un Manufacturing: Direct naterials Direct Jabor e to search