Gabbert Company, Which Has Only One Product, Has Provided the Following

question 29

Multiple Choice

Gabbert Company, which has only one product, has provided the following data concerning its most recent month of operations:
$\begin{array}{|l|r|}\hline \text { Selling price } & \$ 90 \\\hline \text { Units in beginning inventory } & 0 \\\hline \text { Units produced } & 3,600 \\\hline \text { Units sold } & 3,400 \\\hline \text { Units in ending inventory } & 200 \\\hline \text { Variable costs per unit: } & \\\hline \text { Direct materials } & \$ 23 \\\hline \text { Direct labour } & \$ 11 \\\hline \text { Variable manufacturing overhead } & \$ 2 \\\hline \text { Variable selling and administrative } & \$ 8 \\\hline \text { Fixed costs: } & \\\hline \text { Fixed manufacturing overhead } & \$ 93,600 \\\hline \text { Fixed selling and administrative } & \$ 61,200 \\\hline\end{array}$

-What was the total contribution margin for the month under the variable costing approach?

• A) $62,800.
• B) $95,200.
• C) $156,400.
• D) $183,600.

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Definitions:

Biopsychosocial Viewpoint

An approach in understanding human health and illness that considers biological, psychological, and social factors.

Health

An overall condition of good health involving physical, mental, and social factors, not just the absence of illness or frailty.

Biopsychosocial Model

An interdisciplinary model that looks at the interconnection between biology, psychology, and socio-environmental factors when assessing human development and health.

Biochemical

Pertaining to the chemical substances and processes that occur within living organisms.