The Browning Company Manufactures a Single Product; the Standard Costs

question 85

Multiple Choice

The Browning Company manufactures a single product; the standard costs per unit being variable manufacturing $8, fixed manufacturing $6. Selling and administrative costs are $2 per unit sold. The selling price is $20 per unit. Actual and budgeted fixed overhead is $900 000 for the year. Information about Browning's production activity for the year is:
What is the value of closing inventory of finished goods under variable costing?

• A) $420 000
• B) $180 000
• C) $240 000
• D) $120 000

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Definitions:

Mobility

The ability to move freely and easily, crucial for performing activities of daily living and enhancing quality of life.

Fecal Impaction

A condition where hard stool becomes stuck in the rectum or colon, making it difficult to have a bowel movement.

Valsalva Maneuver

A technique involving deep breath and then forcibly exhaling while keeping the mouth and nose closed, used in medicine to test heart function and in other applications.

Flatulence

The accumulation of gas in the digestive system leading to the release of gas through the anus.