Labadie Corporation Manufactures and Sells One Product

question 26

Multiple Choice

Labadie Corporation manufactures and sells one product. The following information pertains to the company's first year of operations: The company does not have any variable manufacturing overhead costs or variable selling and administrative expenses. During its first year of operations, the company produced 25,000 units and sold 22,000 units. The company's only product is sold for $251 per unit.
The unit product cost under super-variable costing is:

• A) $117 per unit
• B) $215 per unit
• C) $94 per unit
• D) $181 per unit

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Definitions:

Clock Protein

A component of the circadian clocks of organisms, involved in maintaining the biological rhythm according to a 24-hour cycle.

Photoperiodic Response

The physiological reaction of organisms to the length of day or night, affecting processes such as flowering in plants and breeding in animals.

Photoperiodism

The physiological reaction of organisms to the length of day or night, often affecting flowering and reproduction.

Long-day Plant

Plants that flower only after being exposed to light periods longer than a certain critical length.