Question: Variable Prod Cost - $ 36 per unit Fixed Prod - (OAR) $ 83.75 per unit Selling price - $ 170 per unit Actual fixed

Variable Prod Cost - $ 36 per unit

Fixed Prod - (OAR) $ 83.75 per unit

Selling price - $ 170 per unit

Actual fixed production overheads incurred is $ 200 000 per month.

Sales for the month are expected to be 2 000 units while production units will be 2 500 units.

There is no opening stock.

Fixed selling cost will be $ 10 000 and also there will be variable selling cost of $ 9 875 in total.

As the cost Accountant you are required to complete the absorption costing report below to advise management on the estimated profit using absorption costing principles.

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