Lukin Corporation Reports the Following First Year Production Cost Information

question 78

Essay

Lukin Corporation reports the following first year production cost information:
$\begin{array}{ll}\text { Units produced } & 62,000 \text { units } \\\text { Units sold } & 59,000 \text { units } \\\text { Sales price } & \$ 350 \text { per unit } \\\text { Direct labor } & \$ 41 \text { per unit } \\\text { Direct materials } & \$ 15 \text { per unit } \\\text { Variable overhead } & \$ 9,300,000 \text { in total } \\\text { Fixed overhead } & \$ 4,340,000 \text { in total } \\\text { Operating expenses } & \$ 1,000,000\end{array}$ a.Compute production cost per unit under variable costing.
b.Compute production cost per unit under absorption costing.
c.Determine the net income using variable costing.
d.Determine the net income using absorption costing.

---

Definitions:

Ethologists

Scientists who study animal behavior in natural environments, focusing on the biological and evolutionary contexts of behavior.

Aggression

Behavior intended to harm or intimidate others.

Level Of Testosterone

The concentration of testosterone, a crucial hormone in both males and females, impacting numerous aspects of health and behavior.

Type A Personality

The ‘coronary-prone’ personality – a behavioural correlate of heart disease characterized by striving to achieve, time urgency, competitiveness, and hostility.