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During its first year. Concord, Inc., showed a $21 per unit profit under absorption costing but would have reported a total profit of $16,800 less under variable costing. If production exceeded sales by 700 units and an average contribution margin of 60% was maintained, what is apparent: a. Fixed cost per unit? b. Sales price per unit? c. Variable cost per unit? C. d. Unit sales volume if total profit under absorption costing was $189,000?

During its first year. Concord, Inc., showed a $21 per unit profit under absorption costing but would have reported a total profit of $16,800 less under variable costing. If production exceeded sales by 700 units and an average contribution margin of 60% was maintained, what is apparent: a. Fixed cost per unit? b. Sales price per unit? c. Variable cost per unit? C. d. Unit sales volume if total profit under absorption costing was $189,000?

FINANCIAL ACCOUNTING
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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During its first year. Concord, Inc., showed a $21 per unit profit under absorption costing but would have reported a total profit of $16,800 less under variable costing. If production exceeded sales by 700 units and an average contribution margin of 60% was maintained, what is apparent: a. Fixed cost per unit? b. Sales price per unit? c. Variable cost per unit? C. d. Unit sales volume if total profit under absorption costing was $189,000?
Transcribed Image Text:During its first year. Concord, Inc., showed a $21 per unit profit under absorption costing but would have reported a total profit of $16,800 less under variable costing. If production exceeded sales by 700 units and an average contribution margin of 60% was maintained, what is apparent: a. Fixed cost per unit? b. Sales price per unit? c. Variable cost per unit? C. d. Unit sales volume if total profit under absorption costing was $189,000?
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