Polk Company builds custom fishing lures for sporting goods stores. In its first year of operations, 2012, the company incurred the following costs.
Variable Cost per Unit
Direct materials $8.10
Direct labor $2.65
Variable manufacturing overhead $6.21
Variable selling and administrative expenses $4.21
Fixed Costs per Year
Fixed manufacturing overhead $253,383
Fixed selling and administrative expenses $259,308
Polk Company sells the fishing lures for $27.00. During 2012, the company sold 80,300 lures and produced 94,900 lures.
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(a)Assuming the company uses variable costing, calculate Polk's manufacturing cost per unit for 2012. (Round answer to 2 decimal places, e.g.10.50.)
Manufacturing cost per unit
$
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