Diego Company manufactures one product that is sold for $80 per unit. The following information pertains to the company's first year of operations in which it produced 40,000 units and sold 35,000 units. Variable costs per unit: Manufacturing: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses Required: 1. What is the unit product cost under variable costing? Unit product cost 24 $ 14 $ 2 $ 4 $800,000 $496,000 Diego Company manufactures one product that is sold for $80 per unit. The following information pertains to the company's first year of operations in which it produced 40,000 units and sold 35,000 units. Variable costs per unit: Manufacturing: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: 1 Fixed manufacturing overhead Fixed selling and administrative expenses $ 24 $ 14 $ 21 $ 4 $800,000 $496,000 2. What is the unit product cost under absorption costing? Unit product cost Diego Company manufactures one product that is sold for $80 per unit. The following information pertains to the company's first year of operations in which it produced 40,000 units and sold 35,000 units. Variable costs per unit: Manufacturing: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses 3. What is the company's total contribution margin under variable costing? Total Contribution margin $ 24 $ 14 $ 2 $ 4 $800,000 $496,000