Unit Costs, Inventory Valuation, Variable and Absorption Costing Snyder Company produced 90,200 units during its first year of operations and sold 87,750 at $22.81 per unit. The company chose practical activity-at 90,200 units-to compute its predetermined overhead rate. Manufacturing costs are as follows: Direct materials $585,398 Direct labor 80,278 Expected and actual variable overhead 397,782 Expected and actual fixed overhead 459,118 Required: If required, round unit cost answers to the nearest cent. 1. Calculate the unit cost and the cost of finished goods inventory under absorption costing. Unit Cost 16.88 Cost of finished goods inventory 41,356 2. Calculate the unit cost and the cost of finished goods inventory under variable costing. Unit Cost 11.79 Cost of finished goods inventory 29,155 X 3. What is the dollar amount that would be used to report the cost of finished goods inventory to external parties? Why? Because absorption costing is required for external reporting