Swisher, Incorporated Reports the Following Annual Cost Data for Its

question 93

Multiple Choice

Swisher, Incorporated reports the following annual cost data for its single product: This product is normally sold for $48 per unit. If Swisher increases its production to 50,000 units, while sales remain at the current 30,000 unit level, by how much would the company's income increase or decrease under variable costing?

• A) $60,000 decrease.
• B) $90,000 decrease.
• C) There is no change in income.
• D) $90,000 increase.
• E) $60,000 increase.

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Definitions:

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A theory and method in psychology and related fields that examines the ability to discern between information-bearing patterns and random patterns that distract from the information.

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The ability to interpret the surrounding environment using light in the visible spectrum reflected by the objects in the environment.