A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations:
Selling price $ 121
Units in beginning inventory 0
Units produced 6,000
Units sold 5,600
Units in ending inventory 400
Variable costs per unit:
Direct materials $ 38
Direct labor $ 53
Variable manufacturing overhead $ 3
Variable selling and administrative expense $ 11
Fixed costs:
Fixed manufacturing overhead $ 60,000
Fixed selling and administrative expense $ 28,000
What is the total period cost for the month under variable costing?
A) $149,600
B) $60,000
C) $88,000
D) $89,600
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