Hadley Corporation, which has only one product, has provided the following data concerning its most recent month of operations: Selling price $ 185 Units in beginning inventory 100 Units produced 1,970 Units sold 1,380 Units in ending inventory 690 Variable costs per unit: Direct materials $ 75 Direct labor $ 32 Variable manufacturing overhead $ 12 Variable selling and administrative expense $ 11 Fixed costs: Fixed manufacturing overhead $ 19,700 Fixed selling and administrative expense $ 30,360 What is the total period cost for the month under variable costing?

Total period cost for the month $65,240

Explanation:

Product cost under variable costing = Direct materials + Direct labor + Variable overheads

Period cost under variable costing = Fixed manufacturing overheads + All non manufacturing overheads (Variable and fixed)

Calculation of the total period cost using variable costing

Variable selling and administrative expense ($11 × 1,380 units)

$15,180

Fixed manufacturing overhead

$19,700

Fixed selling and administrative expense

$30,360

Total period cost for the month

$65,240

The correct answer to the following question is Waiver .

Explanation:

The term waiver can be defined as a legally binding provision , in which either of the parties entered in a contract , in their own free will forfeits a claim, and other party would not be liable. These waivers can be in written from or in some sort of action. Here the insurance company has removed the potential liability of the person who has filled the application form.