Last Year, Gransky Corporation's Variable Costing Net Operating Income Was

question 96

Multiple Choice

Last year, Gransky Corporation's variable costing net operating income was $52,100 and its ending inventory increased by 400 units. Fixed manufacturing overhead cost was $7 per unit. What was the absorption costing net operating income last year?

• A) $52,100
• B) $2,800
• C) $54,900
• D) $49,300

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Definitions:

Trademark

A distinct symbol, pattern, or phrase that distinguishes the goods or services of one origin from those of another.

Manufacturer

Any person or entity that makes goods or merchandise from raw materials by hand or by machinery, often on a large scale.

Madrid Protocol

An international treaty that provides a centralized system for obtaining a bundle of trademark registrations in different jurisdictions with a single application.

Berne Convention

An international agreement governing copyright protection, allowing creators to have their works protected in many countries.