Answer : the variable cost per unit = $ 26.07
Working notes for the above answer is as follow
| Break-even Sales Units = x = | FC |
| p − v |
F = Fixed Cost
P = Sales Price
v = Variable cost
here in this case we have provided with the information
The accounting break-even production quantity for a project is 5,799 units.
The fixed costs are $92,640,
the depreciation is $36,210, and the
sales price per unit is $48.29.
Let us put all figure in the formulla
5,799 units = $ 92640 + $ 36210 / 48.59 – X
5,799 units = $ 128850 / contribution
Contribution=$ 128850 / 57990units
C= 22.22
| Contribution | 22.22 |
| Sales price | 48.29 |
| variable cost | 26.07 |
| Contribution | 22.22 |
