Reliance Corporation sold 5,000 units of its product at a price of $25 per unit. Total variable cost per unit is $13.50, consisting of $12.90 in variable production cost and $0.60 in variable selling and administrative cost. Compute the contribution margin for the company.

Multiple Choice

• $57,500

• $67,500

• $125,000

• $64,500

• $70,500

  Shore Company reports the following information regarding its production cost.

  Units produced		48,000	units
  Direct labor	$	43	per unit
  Direct materials	$	44	per unit
  Variable overhead	$	10	per unit
  Fixed overhead	$	114,920	in total

  Compute product cost per unit under absorption costing.

  Multiple Choice

• $93.00

• $99.39

• $87.00

• $43.00

• $44.00