use 23 as reference for 25 25. Refer back to the original data. How would Novus' variable costing netoperating income been affected in its first year if 4,500 parachutes wereproduced instead of 4,000 and Novus still sold 4,000 parachutes?a. net operating income would not have been affectedb. net operating income would have been P38,000 higherc. net operating income would have been P57,000 higherd. net operating income would have been P75,000 lower Novus' cost structure: (See image) In its first year of operations, Novusproduced and sold 4,000 parachutes. The parachutes sold for P310 each. IfNovus would have sold only 3,800 parachutes in its first year, what totalamount of cost would have been assigned to the 200 parachutes infinished goods inventory under the variable costing method? *Variable cost perTotal fixed costfor the yearP342,000P171,000parachuteManufacturing cost.Selling and administrative...P160P10a. P28,000b. P32,000с. Р34,000d. P49,100

Solution 25: If nos of units sold is not affected the net operating income under variable costing…

25. Refer back to the original data. How would Novus' variable costing net operating income been affected in its first year if 4,500 parachutes were produced instead of 4,000 and Novus still sold 4,000 parachutes? a. net operating income would not have been affected O b. net operating income would have been P38,000 higher O c. net operating income would have been P57,000 higher

25. Refer back to the original data. How would Novus' variable costing net operating income been affected in its first year if 4,500 parachutes were produced instead of 4,000 and Novus still sold 4,000 parachutes? a. net operating income would not have been affected O b. net operating income would have been P38,000 higher O c. net operating income would have been P57,000 higher

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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