Last Year,Teneyck Corporation's Variable Costing Net Operating Income Was $63,500

question 8

Essay

Last year,Teneyck Corporation's variable costing net operating income was $63,500 and ending inventory decreased by 200 units.Fixed manufacturing overhead cost per unit was $5.
Required:
Determine the absorption costing net operating income for last year.Show your work!

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Definitions:

Managers

Individuals who are responsible for directing and overseeing the operations and strategies of an organization or its parts.

Priority Establishment

The process of determining the importance or urgency of various tasks or projects, often used in strategic planning and project management.

Retention Ratio

The retention ratio is a financial metric indicating the percentage of net income that is retained by a company, rather than being paid out as dividends. It reflects a company’s reinvestment rate.

Plowback Ratio

A measure of how much of a company's profit is reinvested into the business, rather than being distributed to shareholders as dividends.