Qa and Qb

Question 2 (May 2021) - Abruzzo Industries began operations on January 1. The company sells a single product for 75 per unit. During the year, 9,000 units were produced and 8,600 units were sold. There was no work-in-process inventory at December 31.- Abruzzo Industries' actual costs for the year were as follows: - Direct materials - Direct laboure Manufacturing overhead Selling and administrative- expenses Fixed Costs 02 02 90,000 Variable Costs 22.00 per unit producede 16.00 per unit producede 5.00 per unit producede I a I I at 50,000 3.00 per unit sold -- Requirement *a) Compute the cost per unit using absorption costing and variable costing. 7 Marks b) Determine the finished-goods inventory cost at December 31 using absorption costing and variable costing. 4 Marks