Barrett, Inc The Beginning Finished Goods Inventory Costs Were $3300 Under Absorption

question 93

Multiple Choice

Barrett, Inc. reports the following information for the year ended December 31: $\begin{array}{|l|r|l|}\hline \text { Beginning Finished Goods Inventory } & 60 & \text { units } \\\hline \text { Units produced } & 400 & \text { units } \\\hline \text { Units sold } & 460 & \text { units } \\\hline \text { Sales price } & \$ 160 & \text { per unit } \\\hline \text { Direct materials } & \$ 30 & \text { per unit } \\\hline \text { Direct labor } & \$ 12 & \text { per unit } \\\hline \text { Variable manufacturing overhead } & \$ 15 & \text { per unit } \\\hline \text { Fixed manufacturing overhead } & \$ 15,900 & \text { per year } \\\hline \text { Variable selling and administrative costs } & \$ 10 & \text { per unit } \\\hline \text { Fixed selling and administrative costs } & \$ 12,500 & \text { per year }\\\hline\end{array}$
The beginning Finished Goods Inventory costs were $3300 under absorption costing and $3420 under variable costing.
What is the operating income using variable costing?

• A) $42,780
• B) $45,200
• C) $14,380
• D) $4780

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A unit of frequency equivalent to one hertz, indicating the number of cycles (such as wave oscillations) completed in one second.

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Area of the brain involved in the perception of taste.

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The region of the brain responsible for processing auditory information and is involved in memory and emotion.