Flint Enterprises Had the Following Cost and Production Information for May

question 74

Multiple Choice

Flint Enterprises had the following cost and production information for May: Inventory increased by 2,000 units during May.What is Flint Enterprise's income under absorption costing?

• A)$4,620,000
• B)$4,652,000
• C)$5,070,000
• D)$5,132,000

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Definitions:

Payroll Deductions

Amounts subtracted from an employee's gross pay for taxes, insurance premiums, or other benefits, leading to the net pay the employee receives.

Precommitments

Strategies or actions taken in advance to bind oneself to a specific course of action, often used to influence future decision-making or outcomes.

Present Consumption

The use of goods and services for immediate satisfaction or needs, as opposed to saving or investing for future use.

Behavioral Economists

Economists who study the effects of psychological, social, cognitive, and emotional factors on the economic decisions of individuals and institutions and how those decisions vary from those implied by classical theory.