Chance Inc. sold 2,600 units of its product at a price of $114 per unit. Total variable cost per unit is $79, consisting of $46 invariable production cost and $33 in variable selling and administrative cost. Compute the manufacturing margin for the company under variable costing.   A. $119,600   B. $91,000   C. $176,800   D. ($114,400)   E. $296,400

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter7: Variable Costing For Management analysis
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Problem 5E: On April 30, the end of the first month of operations, Joplin Company prepared the following income...
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Chance Inc. sold 2,600 units of its product at a price of $114 per unit. Total variable cost per unit is $79, consisting of $46 invariable production cost and $33 in variable selling and administrative cost. Compute the manufacturing margin for the company under variable costing.

 

A. $119,600

 

B. $91,000

 

C. $176,800

 

D. ($114,400)

 

E. $296,400

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