Zhender Inc Full Costing Operating Income for 2019 Is Calculated to Be

question 42

Multiple Choice

Zhender Inc. manufactures hair brushes that sell at wholesale for $2.60 per unit. Budgeted production in both 2018 and 2019 was 3,000 units. There was no beginning inventory in 2018. The following data summarized the 2018 and 2019 operations: $\begin{array}{lcc} & 2018 & 2019 \\\text { Units sold } & 2,500 & 3,200 \\\text { Units produced } & 3,000 & 3,000\\\text { Costs: }\\\text { Variable factory overhead per unit } & \$ 0.65 & \$ 0.65 \\\text { Fixed factory overhead } & \$ 1,290 & \$ 1,290 \\\text { Variable marketing per unit } & \$ 0.80 & \$ 0.80 \\\text { Fixed Selling and Administrative } & \$ 650 & \$ 650\end{array}$ Full costing operating income for 2019 is calculated to be:

• A) $850.
• B) $1,150.
• C) $1,295.
• D) $1,654.
• E) $1,740.

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