The Company Is Considering Using Either Super-Variable Costing or a Variable

question 18

Multiple Choice

The company is considering using either super-variable costing or a variable costing system that assigns $14 of direct labor cost to each unit that is produced. Which of the following statements is true regarding the net operating income in the first year?

• A)Super-variable costing net operating income exceeds variable costing net operating income by $98,000.
• B)Variable costing net operating income exceeds super-variable costing net operating income by $98,000.
• C)Super-variable costing net operating income exceeds variable costing net operating income by $448,000.
• D)Variable costing net operating income exceeds super-variable costing net operating income by $448,000.

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Definitions:

Ethnic Groups

communities of people who share a common cultural background, ancestry, language, or history.

Social-cultural

Another term referring to the Social-Cultural Perspective, highlighting how societal and cultural factors influence individual behavior and cognition.

Psychodynamic Perspective

The psychodynamic perspective is an approach in psychology which stresses the importance of the unconscious mind, childhood experiences, and interpersonal relationships in shaping behavior and personality.

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The combination of characteristics or qualities that form an individual's distinctive character and influence behaviors, motivations, and attitudes.