A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (20,600 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead Operating expenses: Variable operating expenses Fixed operating expenses $180,000 222,000 244,700 101,400 O a. $47,090 O b. $54,473 Oc. $66,175 O d. $193,160 $120,400 40,300 $748,100 160,700 If 1,500 units remain unsold at the end of the month and sales total $1,055,000 for the month, the amount of operating income reported on the variable costing income statement would be

A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (20,600 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead Operating expenses: Variable operating expenses Fixed operating expenses $180,000 222,000 244,700 101,400 O a. $47,090 O b. $54,473 Oc. $66,175 O d. $193,160 $120,400 40,300 $748,100 160,700 If 1,500 units remain unsold at the end of the month and sales total $1,055,000 for the month, the amount of operating income reported on the variable costing income statement would be

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Description: A business operated at 100% of capacity during its first month and incurred the following costs:Production costs (20,600 units):Direct materialsDirect laborVariable factory overheadFixed factory overheadOperating expenses:Variable operating expenses

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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