Moneka Reported $65,000 of Income for the Year by Using

question 55

Multiple Choice

Moneka reported $65,000 of income for the year by using absorption costing. The company had no beginning inventory, planned and actual production of 20,000 units, and sales of 18,000 units. Standard variable manufacturing costs were $20 per unit, and total budgeted fixed manufacturing overhead was $100,000. If there were no variances, income under variable costing would be:

• A) $15,000.
• B) $55,000.
• C) $65,000.
• D) $75,000.
• E) $115,000.

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Definitions:

Conformity Causes

Factors that lead individuals to change their attitudes, beliefs, or behaviors to align with group norms or expectations.

Laughed At

being the subject of amusement or ridicule by others, often leading to feelings of embarrassment or humiliation.

Correct

Conforming to fact or truth; free from error, accurate or precise.

Asch Studies

A series of psychological experiments conducted by Solomon Asch studying if and how individuals yielded to or defied a majority group and the effect of such influences on beliefs and opinions.