Sprinkle Co. sells its product for $20 per unit. During 2013, it produced 60,000 units and sold 50,000 units (there was no beginning inventory). Costs per unit are: direct materials $5, direct labor $3, and variable overhead $1. Fixed costs are: $240,000 manufacturing overhead, and $30,000 selling and administrative expenses. The per unit manufacturing cost under absorption costing is

$13

Explanation:

The fix manufacturing cost per unit can be calculated as following:

+) Fixed manufacturing cost per unit = Fixed manufacturing cost/ Units produced

= 240,000/ 60,000 = $4

The variable costs per unit include:

+) Direct materials per unit: $5

+) Direct labor per unit: $3

+) Variable overhead: $1

=> The per unit manufacturing cost under variable costing is: 5 + 3 + 1 = $9

The per unit manufacturing cost under absorption costing is = Fixed manufacturing cost per unit + The per unit manufacturing cost under variable costing

= 4 + 9 = $13

the answer is     d. in our global economy, most job growth will be in services, but manufacturing jobs will exist, too.