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6. Betty's Beauty Products was started when it acquired $50,000 cash from its owners. The company was founded to produce a miraculous lotion purported to
6. Betty's Beauty Products was started when it acquired $50,000 cash from its owners. The company was founded to produce a miraculous lotion purported to reduce the signs of aging. During its first year of operations, the company paid $16,000 for ingredients used in the product and $19,000 in wages for production workers. Lease payments and utilities on the production facilities amounted to $22,500. General, selling, and administrative expenses amounted to $6,000. The company produced 5,000 units of the lotion and sold 4,000 units at a price of $15.00 a unit. The average cost per unit for the lotion in Betty's first year is which of the following amounts? A. $8.00 $10.00 $9.20 $11.50
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