M&H's Unit Production Cost Under Variable Costing Is $25, and $32

question 2

Multiple Choice

M&H's unit production cost under variable costing is $25, and $32 under absorption costing.Net income under variable costing was $250,000 and $187,000 under absorption costing last year.Production equalled 63,000 units.How many units did M&H sell?

• A)72,000
• B)54,000
• C)70,000
• D)56,000

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Definitions:

Anxiety-arousing Stimuli

External events or circumstances that provoke anxiety responses.

Systematic Desensitization

A behavioral therapy technique used to reduce phobias or anxiety through gradual exposure to the feared object or situation while employing relaxation techniques.

Nausea-producing Drug

A medication that induces the sensation of wanting to vomit as a side effect.

Aversive Conditioning

A learning process in which an individual's behavior is modified by pairing an unwanted stimulus with a specific response to create an aversion to that behavior.