Figure 8-2

question 100

Multiple Choice

Figure 8-2. Loring Company had the following data for the month:
Fixed overhead is $4,000 per month; it is applied to production based on normal activity of 2,000 units.During the month,2,000 units were produced.Loring started the month with 300 units in beginning inventory,with unit product cost equal to this month's unit product cost.A total of 2,100 units were sold during the month at price of $14.Selling and administrative expense for the month,all fixed,totaled $3,600.
Refer to Figure 8-2.What is the unit product cost under absorption costing?

• A)$8.60
• B)$10.60
• C)$8.20
• D)$10.20
• E)$7.20

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Definitions:

Serial

Pertaining to processes or operations that occur sequentially, one after the other, often used in context with information processing or serial tasks in cognitive psychology.

Sequential

Pertaining to events, ideas, or objects arranged or occurring in a logical order or sequence.

Connectionist Models

Connectionist models are a type of cognitive model that represent mental processes through networks of interconnected nodes, similar to neural networks.

Parallel

Existing or occurring at the same time without intersecting or directly affecting each other.