Hello,

Could you please explain how they got $1.28 as a variable cost/unit?

Question O Correct Mark 1.00 out of 1.00 Veron Corporation is considering building a new plant in Europe. It predicts that sales at the new plant will be 100,000 units at $4.00/unit. Estimated expenses: % of Annual expenses Category Total annual expenses that are fixed Materials $20,000 10% Labour $30.000 20% Overhead $50,000 40% Marketing/Admin $10,000 60% A European firm was contracted to sell the product and will receive a commission of 13% of the sales price. No U.S. home office expenses will be allocated to the new facility What is the variable cost per unit for Veron Corporation? Select one: a. 50 76 b. $1.62 d. 50.86 acer