A Company's Operating Income Was $70,000 Using Variable Costing for a Given

question 53

Multiple Choice

A company's operating income was $70,000 using variable costing for a given period.Beginning and ending inventories for that period were 45,000 units and 50,000 units, respectively.Ignoring income taxes, if the fixed factory overhead application rate was $8.00 per unit, what would operating income have been using full costing?

• A)$30,000.
• B)$140,000.
• C)$110,000.
• D)$100,000.
• E)Cannot be determined from the information given.

Recognize the relationship between certain diseases and the affected body systems.

Understand the characteristics of various skin cancers and neoplasms.

Understand chronic and inflammatory skin conditions and their clinical presentations.

Recognize the role of the integumentary system in physical appearance and bodily protection.

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Definitions:

Actual Output

Actual output refers to the real GDP or the total value of all goods and services produced in an economy at a given time, contrasting with potential output.

Expected Price Level

The anticipation or forecast of future prices across an economy, affecting consumer and business decisions.

Long-Term Contracts

Agreements that extend over a significant period of time, often involving commitments to buy or sell goods or services or to provide employment.

Recessionary Gaps

Situations where an economy's actual output is less than its potential output, often characterized by unemployment and underutilized resources.