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John Moffat.
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Anonymous
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Given ,
budgeted volume ( production and sales) = 17200 units
actual volume ( production and sales) = 18600 units
actual total variable cost = $ 383160
variable cost variance = $ 9300 (adverse)calculate standard variable cost per unit ?
John Moffat
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Why are you attempting a question for which you do not have an answer? You should be using a Revision Kit from one of the ACCA Approved Publishers – they have answers and workings!!
The standard total variable cost for the actual production must have been 383,160 – 9,300 = $373,860.
Given that they actually produced 18,600 units, the standard variable cost per unit must be 373,860 / 18,600 = $20.10.
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