Sales | 440,000 |
Variable expenses: | |
Direct material ( 100,000 x 22,000/25,000) | -88,000 |
Direct labor ( 75,000 x 22,000/25,000) | -66,000 |
Variable Manufacturing overhead ( 50,000 x 22,000/25,000) | -44,000 |
Variable selling and administrative expense | -110,000 |
Contribution Margin | 132,000 |
Fixed expenses: | |
Fixed manufacturing overhead | -75,000 |
Fixed selling and administrative expense | -45,000 |
Operating Income | $12,000 |
Operating income under Variable costing is @12,000.
Correct option is C.
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Question 22 (1 point) Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production...
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