Zhender Inc Variable Costing Operating Income for 2018 Is Calculated to Be

question 94

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: $\begin{array}{lcc} & 2018 & 2019 \\\text { Units sold } & 2,500 & 3,200 \\\text { Units produced } & 3,000 & 3,000\\\text { Costs: }\\\text { Variable factory overhead per unit } & \$ 0.65 & \$ 0.65 \\\text { Fixed factory overhead } & \$ 1,290 & \$ 1,290 \\\text { Variable marketing per unit } & \$ 0.80 & \$ 0.80 \\\text { Fixed Selling and Administrative } & \$ 650 & \$ 650\end{array}$ Variable costing operating income for 2018 is calculated to be:

• A) $935.
• B) $1,150.
• C) $1,200.
• D) $1,352.
• E) $1,395.

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Definitions:

Temporal Theory

A hypothesis in the study of perception, often relating to how sounds are perceived in terms of timing.

Retinal Disparity

The minor variation in what is seen by each eye, due to the differing perspectives from which each eye observes the environment.

Depth Perception

The ability to perceive the world in three dimensions and to judge the distance of objects accurately.

Skin Sensations

Feelings perceived through the skin, including touch, pressure, heat, cold, and pain, mediated by the nervous system.