Figure 2-7

question 147

Multiple Choice

Figure 2-7. Gateway Company produces a product with the following per-unit costs:
Last year,Gateway produced and sold 750 units at a sales price of $68 each.Total selling and administrative expense was $22,000.
Refer to Figure 2-7.Total operating income last year was?

• A)$29,000
• B)$51,000
• C)$25,500
• D)$3,500

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Definitions:

Expected Value

A calculated average outcome of a random event, considering all possible outcomes and their probabilities.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of data values.

Absolute Value

Represents the distance of a number from zero on the number line, disregarding its direction (positive or negative).

Probability

A branch of mathematics that deals with calculating the likelihood of a given event's occurrence.