Last Year, Richmon Company Produced 10,000 Units and Sold 6,000

question 136

Multiple Choice

Last year, Richmon Company produced 10,000 units and sold 6,000 units at a price of $20.Costs for the last year were as follows:


Fixed factory overhead is applied based on expected production.Last year, Richmon expected to produce 10,000 units.Assuming that beginning inventory was zero, what is the value of ending inventory under absorption costing? (Note: Round answers to the nearest dollar.)

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Definitions:

Calcium Deposits

Mineral build-up in body tissues, which can lead to various conditions depending on their location.

Iron Deposits

Accumulations of iron in the body, which may occur in various tissues and organs, possibly leading to health issues.

Synovial Fluid

A viscous fluid found in the cavities of synovial joints that reduces friction between the articular cartilage during movement.

Acute Pulmonary

Refers to sudden conditions affecting the lungs, such as acute pulmonary edema or acute respiratory distress syndrome.