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ABC Ltd. incurred $4,200,000 in direct materials costs, $3,360,000 in direct labor costs, and $2,100,000 in manufacturing overhead costs during the month. If the company

ABC Ltd. incurred $4,200,000 in direct materials costs, $3,360,000 in direct labor costs, and $2,100,000 in manufacturing overhead costs during the month. If the company produced 3,600,000 units of a product,

Cost Component

Amount ($)

Direct Materials

$4,200,000

Direct Labor

$3,360,000

Manufacturing Overhead

$2,100,000

Units Produced

3,600,000

calculate the cost per unit using the absorption costing method.

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