A Business Operated at 100% of Capacity During Its First

question 112

Multiple Choice

A business operated at 100% of capacity during its first month and incurred the following costs: If 2,000 units remain unsold at the end of the month and sales total $300,000 for the month, what is the amount of the manufacturing margin that would be reported on the variable costing income statement?

• A) $104,000
• B) $106,000
• C) $140,000
• D) $114,800

---

Definitions:

Life-support Systems

Technologies or medical practices designed to maintain life by performing vital functions for the body.

Passive Euthanasia

The withholding or withdrawing of life-sustaining treatments to allow a person to die naturally, without the active intervention to cause death.

Life-prolonging Treatment

Medical treatments administered with the primary aim of extending the life of patients, particularly those with terminal or chronic illnesses.

Dying Mother

Describes a situation involving a mother who is in the process of passing away, often invoking emotional, social, and practical consequences for her family.