Manufacturing Costs. For each bicycle produced, Matheson Company incurs direct material cost of $6, direct labor of $3, and variable factory overhead of $1. Matheson’s fixed factory overhead totals $1,000 per month.

Required:

(1) Identify the prime cost per unit.

(2) Identify the variable conversion cost per unit.

(3) Identify the variable manufacturing cost per unit.

(4) Calculate total manufacturing costs that should be incurred in a month in which 500 bicycles are produced.