Blake Company produces a single product. Last year, Blake's net operating income under absorption costing was $3,600 lower than under variable costing. The company sold 10,000 units during the years, and its variable costs were $9 per unit which included $1 variable selling expense. If production cost was $11 per unit under absorption costing, then how many units did the company produce during the years?
Blake Company produces a single product. Last year, Blake's net operating income under absorption costing was $3,600 lower than under variable costing. The company sold 10,000 units during the years, and its variable costs were $9 per unit which included $1 variable selling expense. If production cost was $11 per unit under absorption costing, then how many units did the company produce during the years?
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Blake Company produces a single product. Last year, Blake's net
operating income under absorption costing was $3,600 lower than
under variable costing. The company sold 10,000 units during the
years, and its variable costs were $9 per unit which included $1
variable selling expense. If production cost was $11 per unit under
absorption costing, then how many units did the company produce
during the years?
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