Variable costs per unit | $ |
---|---|
Direct material | 5 |
Direct labor | 4 |
Manufacturing overhead | 6 |
Selling and administrative costs | 3 |
Total variable cost per unit | 18 |
Annual fixed operating costs | |
Manufacturing overhead | 6,200,000 |
Selling and administrative costs | 3,700,000 |
Total annual fixed cost | 9,900,000 |