The Following Information Pertains to Nute Corporation -Refer to the Figure

question 72

Multiple Choice

The following information pertains to Nute Corporation:
$$\begin{array} { l r } \text { Beginning inventory } & 1,000 \text { units } \\\text { Ending inventory } & 6,000 \text { units } \\\text { Direct labour per unit } & \$ 40 \\\text { Direct materials per unit } & 20 \\\text { Variable overhead per unit } & 10 \\\text { Fixed overhead per unit } & 30 \\\text { Variable selling and administrative costs per unit } & 6 \\\text { Fixed selling and administrative costs per unit } & 14\end{array}$$
-Refer to the Figure.What is the value of the ending inventory using the absorption costing method?

• A)$240,000
• B)$360,000
• C)$420,000
• D)$600,000

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Definitions:

Mercury Preservative

refers to compounds containing mercury used to prevent bacterial and fungal growth in vaccines, though its use has significantly decreased due to health concerns.

Viral Infection

An infection caused by a virus, a type of microscopic organism that invades living cells to reproduce, potentially causing disease in the host organism.

Very Low Birth Weight

A term describing babies born with a weight of less than 1,500 grams (3 pounds, 4 ounces).

Greek Word

A term or phrase originating from the Greek language, which has contributed significantly to the vocabulary of various languages, including English.