Bethel,Inc What Is the Operating Income Using Variable Costing If 500

question 30

Multiple Choice

Bethel,Inc.has collected the following data.(There are no beginning inventories.) $\begin{array}{|l|r|l|}\hline \text { Units produced } & 530 &\text { units } \\\hline \text { Sales price } & \$140 &\text { per unit } \\\hline \text { Direct materials } & \$17&\text { per unit } \\\hline \text { Direct labor } & \$ 13 &\text { per unit } \\\hline \text { Variable mannufacturing overhead } & \$ 10 &\text { per unit } \\\hline \text { Fixed manufacturing overhead } & \$ 19,200 &\text { per year } \\\hline \text { Variable selling and administrative costs } & \$ 10 &\text { per unit } \\\hline \text { Fixed selling and administrative costs } & \$ 10,000 &\text { per year } \\\hline\end{array}$ What is the operating income using variable costing if 500 units are sold?

• A)$15,800
• B)$45,000
• C)$60,000
• D)$4200

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Definitions:

Homeostatic Approach

A concept in psychology that refers to the process by which organisms maintain a stable internal environment despite external changes, often applied to emotional regulation.

Balance and Equilibrium

The state of psychological stability achieved when tensions or conflicts are managed and personal needs are adequately met.

American Psychoanalytic Association

A professional organization dedicated to the study and practice of psychoanalysis in the United States.

Informality

A behavior or manner that is relaxed and casual, not conforming strictly to traditional standards or rules.