Shark Corporation
the Following Information Pertains to Shark Corporation -Refer to Shark Corporation

question 66

Multiple Choice

Shark Corporation
The following information pertains to Shark Corporation: $$\begin{array} { l l } \text { Beginning inventory } & 0 \text { units } \\\text { Ending Finished Goods Inventory } & 6,000 \text { units } \\\text { Direct labour per unit } & \$ 22 \\\text { Direct materials per unit } & 18 \\\text { Variable manufacturing overhead per unit } & 6 \\\text { Fixed manufacturing overhead per unit } & 12 \\\text { Variable selling costs per unit } & 14 \\\text { Fixed selling costs per unit } & 16\end{array}$$
-Refer to Shark Corporation. What is the relationship between absorption costing net income and variable costing net income?

• A) Absorption costing net income is $72,000 less.
• B) Absorption costing net income is $70,000 less.
• C) Absorption costing net income is $72,000 greater.
• D) Absorption costing net income is $70,000 greater.

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Definitions:

Green IT

Practices and technologies aimed at improving energy efficiency and reducing the environmental impact of information technology operations and equipment.

Carbon Footprint

The total amount of greenhouse gases produced directly and indirectly by human activities, usually expressed in equivalent tons of carbon dioxide (CO2).

Utilitarian

Pertains to the ethical theory that the best action is the one that maximizes utility, typically defined as that which produces the greatest well-being of the greatest number of people.

Moral Rights

Moral rights concern the personal and reputational, rather than purely financial, relationships between an author and their work, including the right to credit and the right to object to derogatory treatments.