Use the Information Below to Answer the Following Question(s)

question 28

Multiple Choice

Use the information below to answer the following question(s) .
Beauty Supply Company manufactures shampoo. The supervisor has provided the following information and stated that standard costing is used for manufacturing, marketing, and administrative costs.
There were no beginning or ending inventories of materials or work-in-process.
-What would Beauty Supply Company's operating income (loss) be for January and February, respectively, using the variable costing approach?

• A) $18,000 and $24,200
• B) $(45,000) and $(35,500)
• C) $(44,000) and $(33,809)
• D) $(42,000) and $(35,800)
• E) $18,000 and $(35,800)

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Definitions:

Masked Branding

Masked branding is a strategy where a company's products are marketed without clear association with the parent brand, often to appeal to a different market segment or to test new markets.

Fixed-Ratio

In the context of behavioral psychology, this refers to a reinforcement schedule that rewards a response only after a specified number of responses.

Variable-Ratio

A schedule of reinforcement where a response is rewarded after an unpredictable number of responses, commonly used in behavior modification programs.

Fixed-Interval

A schedule of reinforcement where a response is rewarded only after a specified amount of time has elapsed.