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Texas A&M University-Commerce Operations And Supply Chain Management Assignment Help - variable costs

Question - Sharpens Inc. produces knife sets for use in commercial kitchens. They sell them for $400 each. Selected data for the company's operations last year follow: Units in beginning inventory 0 Units produced 3,000 Units sold 2,500 Units in ending inventory 500 Variable costs per unit: Direct materials $120 Direct labor 80 Variable manufacturing overhead 40 Variable selling and administrative 20 Fixed costs: Fixed manufacturing overhead $300,000 Fixed selling and administrative $200,000 a. Assume that the company uses variable costing, compute the unit cost for one knife set. Show computations. b. Assuming that the company uses absorptions costing, compute the unit cost for the one knife set. Show computations

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