Silver Corporation Produces a Single Product

question 212

Multiple Choice

Silver Corporation produces a single product. Last year, the company's variable production costs totaled $7,500 and its fixed manufacturing overhead costs totaled $4,500. The company produced 3,000 units during the year and sold 2,400 units. There were no units in the beginning inventory. Which of the following statements is true?

• A) Under variable costing, the units in the ending inventory will be costed at $4.00 each.
• B) The net operating income under absorption costing for the year will be $900 lower than the net operating income under variable costing.
• C) The ending inventory under variable costing will be $900 lower than the ending inventory under absorption costing.
• D) Under absorption costing, the units in ending inventory will be costed at $2.50 each.

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Definitions:

Campinha-Bacote's Model

A framework for delivering culturally competent care in nursing and healthcare, focusing on cultural awareness, knowledge, skill, encounters, and desire.

Cultural Competency

The ability to understand, communicate with, and effectively interact with people across cultures, recognizing the value of diversity.

Cultural Skills

Communication, cultural assessment, and culturally competent care.

Teach-Back Technique

An educational strategy in which healthcare providers ask patients to repeat information in their own words to ensure understanding and retention.