Answer (A) is correct . The unit variable manufacturing cost was $25 ($12 direct materials + $9 direct labor + $4 variable overhead). Other variable costs included selling expenses ($8?per unit) and administrative expenses ($2 per unit). The unit selling and administrative costs actually incurred for sales of 125,000 units were the same as the planned unit costs. For example, actual unit variable selling expense was $8 ($1,000,000 ¡Â 125,000 units sold), which equaled the planned unit cost. Thus, total unit variable cost was $35 ($25 + $8 + $2). The total expensed was $4,375,000 (125,000 units sold ¡Á $35).Answer (B) is incorrect because The total variable cost expensed on the variable costing basis was $4,375,000.
Answer (C) is incorrect because The total variable cost expensed on the variable costing basis was $4,375,000.
Answer (D) is incorrect because The total variable cost expensed on the variable costing basis was $4,375,000.
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The total variable cost currently expensed by Valyn Corporation on the variable costing basis was
