Pungent Corporation Manufactures and Sells a Spice Rack

question 284

Multiple Choice

Pungent Corporation manufactures and sells a spice rack. Shown below are the actual operating results for the first two years of operations: Pungent's selling price and unit variable cost and total fixed cost were the same for both years. What is Pungent's variable costing net operating income for Year 2?

• A) $48,000
• B) $50,000
• C) $54,000
• D) $56,000

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Definitions:

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