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Under absorption costing, a company had the following per unit costs when 10,000 units were produced. Direct labor Direct materials Variable overhead Total variable cost

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Under absorption costing, a company had the following per unit costs when 10,000 units were produced. Direct labor Direct materials Variable overhead Total variable cost Fixed overhead ($60,000/10,000 units) Total product cost per unit $ 2.50 3.50 4.50 10.50 6.00 $16.50 The company sells its product for $5700 per unit. Due to new regulations, the company must now incur $2,50 per unit of hazardous waste disposal costs and $7100 per year of fixed hazardous waste disposal costs. Compute the contribution margin per unit, including hazardous waste disposal costs Cont bution margin per unit

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