Front Company Had Net Income of $72,500 Based on Variable

question 32

Multiple Choice

Front Company had net income of $72,500 based on variable costing.Beginning and ending inventories were 800 units and 1,200 units,respectively.Assume the fixed overhead per unit was $7.90 for both the beginning and ending inventory.What is net income under absorption costing?

• A)$69,340
• B)$75,660
• C)$88,300
• D)$56,700
• E)$72,900

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Definitions:

Matching Hypothesis

The theory suggesting that individuals are more likely to form and succeed in a committed relationship with someone who is equally socially desirable.

Physical Attractiveness

How much a person's physical appearance is deemed attractive or handsome by societal standards.

Partners

Individuals or entities that share common interests and responsibilities in achieving a particular goal or undertaking a task together.

Actor-Observer Bias

The tendency to attribute one's own actions to external causes while attributing others' actions to their personality.