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Question
The East Company manufactures several different products. Unit costs associated with Product ORD105 are as follows:
Direct materials $92 Direct manufacturing labor 32 Variable manufacturing overhead 12 Fixed manufacturing overhead 32 Sales commissions (2% of sales) 26 Administrative salaries 6 Total $200 What is the percentage of the total variable costs per unit associated with Product ORD105 with respect to total cost? A) 81% B) 68% C) 84% D) 71% Answer
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