Helmers Corporation Manufactures a Single Product

question 305

Multiple Choice

Helmers Corporation manufactures a single product. Variable costing net operating income last year was $95,000 and this year was $113,800. Last year, $35,400 in fixed manufacturing overhead costs were released from inventory under absorption costing. This year, $13,300 in fixed manufacturing overhead costs were deferred in inventory under absorption costing.What was the absorption costing net operating income last year?

• A) $100,500
• B) $95,000
• C) $59,600
• D) $130,400

---

Definitions:

Industrial Relations School

An academic field of study that focuses on the relationships between employers, employees, unions, and the government in the workplace and the labor market.

Legal Treatment

The manner in which a matter is handled in a legal context, including the application of laws, regulations, and judicial rulings.

Legally Sanctioned

Actions or behaviors that are permitted or approved by law, often implying that they are backed by legal authority or enforcement mechanisms.

Injunctions

Court orders that require a party to do or to refrain from doing specific acts, often used in labor disputes to halt strike actions or enforce agreements.