Slovick Inc., which produces a single product, has provided the following data for its most recent month of operations: There were no beginning or ending inventories.
-The unit product cost under variable costing was:
A) $168
B) $164
C) $199
D) $171

Question

Slovick Inc., which produces a single product, has provided the following data for its most recent month of operations:  There were no beginning or ending inventories.
-The unit product cost under variable costing was:
A) $168 
B) $164 
C) $199 
D) $171

Quizplus · Accepted Answer

Variable costing includes only variable production costs (direct materials, direct labor, and variable manufacturing overhead) in the unit product cost.