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The Bella Vista Oceano Barca Company manufactures disposable two-person rubber rafts for use by tourists in exploring the area coast line. During the current month,
The Bella Vista Oceano Barca Company manufactures disposable two-person rubber rafts for use by tourists in exploring the area coast line. During the current month, direct materials costing $1,500,000 were put into production. Direct labor of $500,000 was incurred, and overhead equaled $1,000,000. Selling and administrative expenses totaled $100,000 for the month and the company manufactured 20,000 rubber rafts. Assume there was no beginning inventory and that 2,800 rubber rafts were sold. Compute the per-unit conversion cost. $100 $75 $69 $72
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