Hackney Company, which has only one product, has provided the following data concerning its most recent month of operations:
-What is the unit product cost for the month under variable costing?
A) $92
B) $107
C) $100
D) $85

Question

Hackney Company, which has only one product, has provided the following data concerning its most recent month of operations: 
-What is the unit product cost for the month under variable costing?
A) $92 
B) $107 
C) $100 
D) $85

Quizplus · Accepted Answer

Under variable costing, the unit product cost includes only variable manufacturing costs. The given options suggest that $85 is the correct choice as it is typically lower than full absorption costing, which includes fixed manufacturing overhead.

Hackney Company, Which Has Only One Product, Has Provided the Following