Basic Electric Motors is a division of Basic Electric Products Corporation.

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Division Information for 2020Beginning inventory0Expected sales in units220,000Selling price per unit$8Variable manufacturing cost per unit$2.70Fixed manufacturing cost (total)$594,000Fixed manufacturing overhead costs per unitBased on 220,000 units$2.70 per unit ($594,000 : 220,000)Based on 270,000 units$2.20 per unit ($594,000 : 270,000)Manufacturing cost per unitBased on 220,000 units$5.40 per unit ($2.70 variable + $2.70 fixed)Based on 270,000 units$4.90 per unit ($2.70 variable + $2.20 fixed)Variable selling and administrative expenses$0.50 per unitFixed selling and administrative expenses (total)$11,900

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