Swisher, Incorporated Reports the Following Annual Cost Data for Its

question 82

Multiple Choice

Swisher, Incorporated reports the following annual cost data for its single product: This product is normally sold for $48 per unit. If Swisher increases its production to 50,000 units, while sales remain at the current 30,000 unit level, by how much would the company's income increase or decrease under absorption costing?

• A) $60,000 decrease.
• B) $90,000 decrease.
• C) There is no change in income.
• D) $90,000 increase.
• E) $60,000 increase.

---

Definitions:

Excessive Enthusiasm

A state of being overly eager or excited, which can sometimes overwhelm others or detract from the intended message.

Uppercase Letters

Capital letters used in writing to denote the beginning of a sentence, proper nouns, or for emphasis.

Readers' Attention

The focus or interest of readers, which writers seek to capture and maintain through engaging content.

Hedging Sentences

Sentences constructed to make statements less assertive, using language that avoids firm commitment, often to mitigate risk or criticism.