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Murphy Inc., which produces a single product, has provided the following data for its most recent month of operation: Number of units produced 7,700 Variable costs per unit: Direct materials $ 157 Direct labor $ 81 Variable manufacturing overhead $ 3 Variable selling and administrative expenses $ 9 Fixed costs: Fixed manufacturing overhead $ 415,800 Fixed selling and administrative expenses $ 146,300 The company had no beginning or ending inventories. Required: a. Compute the unit product cost under absorption costing. b. Compute the unit product cost under variable costing.
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Murphy Inc., which produces a single product, has provided the following data for its most recent mo...
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