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:

Intrathecal

Refers to the administration of medication or other substances directly into the space under the arachnoid membrane of the spinal cord.

Intramuscular

A technique for delivering drugs deep into muscle tissue to facilitate rapid absorption into the circulation system.

Topical

Pertaining to a specific area; local.

STAT

A term used in the medical field indicating an action needs to be taken immediately.