Last Year,Stephen Company Had 20,000 Units in Its Ending Inventory

question 69

Multiple Choice

Last year,Stephen Company had 20,000 units in its ending inventory.During the year,Stephen Company's variable production costs were $12 per unit.The fixed manufacturing overhead cost was $8 per unit in the beginning inventory.The company's operating income for the year was $9,600 higher under variable costing than it was under absorption costing.Given these facts,what must have been the number of units of product in the beginning inventory last year?

• A) 18,800 units.
• B) 19,200 units.
• C) 19,520 units.
• D) 21,200 units.

---

Definitions:

Planning

The process of making detailed strategies or arrangements for achieving specific goals or tasks in the future.

Instrumental Leadership

A leadership style focused on achieving goals through clear directives, task structuring, and performance feedback.

Intrinsically Satisfying

An activity or outcome that is rewarding or fulfilling in itself, not because of any external reward it might bring.

Strategic Connection

A purposeful relationship or partnership formed to achieve mutual benefits and align with strategic goals.