For financial accounting purposes, what is the total amount of product costs incurred to make 20,250 units

$411,075

Explanation:

Calculation for the total amount of product costs incurred to make 20,250 units

First step is to calculate Variable manufacturing cost per unit

Direct materials 7.70

Direct labor Variable 4.70

Variable manufacturing overhead 2.20

Variable manufacturing cost per unit $14.6

Second step is to calculate Total variable manufacturing cost

Variable manufacturing cost per unit$14.6

*Number of units produced 20,250 units

=Total variable manufacturing cost $295,650

($14.6*20,250)

Second step is to calculate Total fixed manufacturing cost

Fixed manufacturing overhead per unit $5.70

xNumber of units used to calculate fixed cost per unit 20,250 units

=Total fixed manufacturing cost $115,425

($5.70*20,250)

Now let calculate Total product cost

Total product cost = $295,650+$115,425

Total product cost=$411,075

Therefore the total amount of product costs incurred to make 20,250 units is $411,075

answer; experimentation;