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2019 is the first year of operations for Disctech, a manufacturer of discs. During the first month, the company manufactured 650,000 discs. Listed below are

2019 is the first year of operations for Disctech, a manufacturer of discs. During the first month, the company manufactured 650,000 discs. Listed below are some of Disctechs cost data for the first month:

Per Unit
Raw Materials used $ 130,000 $0.20
Labor-assembly (paid according to piece rate (per disc) 84,500 $0.13
Labor-shipping to customers 39,000 $0.06
Rent-factory 13,000 $0.02
Rent-warehouse for finished goods held for shipping 6,500 $0.01
Production supervisor salary 6,500 $0.01
Other fixed production costs 82,500 $0.13
Other fixed general and administrative costs 13,000 $0.02
Total Costs $ 375,000

Based on the above information, what is the product unit cost of a disk under GAAP ?

$0.49

$0.43

$0.38

$0.41

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