Anchovy, Inc., a producer of frozen pizzas, began operations this year. During this year, the company produced 16,000 cases of pizza and sold 15,000. At year-end, the company reported the following income statement using absorption costing. 
Production costs per case total $19, which consists of $15.50 in variable production costs and $3.50 in fixed production costs (based on the 16,000 units produced). Eight percent of total selling and administrative expenses are variable. Compute net income under variable costing.
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Professional Accountants
Individuals who are qualified to perform accounting tasks, such as audits, tax preparation, and financial analysis.
Certified Public Accountants
Professionals who are authorized to provide a range of accounting services, including auditing financial statements, consulting, and tax preparation.
Benchmarking
A systematic approach to identifying the activities with the greatest room for improvement. It is based on comparing the performance in an organization with the performance of other, similar organizations known for their outstanding performance.
Business Process
A series of steps that are followed to carry out some task in a business.
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