During the year just ended, Hamilton Industries' income under absorption costing was $4,500 lower than its income under variable costing. The company sold 12,000 units, and its variable costs were $10 per unit, of which $4 was variable selling expense. If production cost per unit under absorption costing is $13 per unit every year, how many units did the company produce during the year?

During the year just ended, Hamilton Industries' income under absorption costing was $4,500 lower than its income under variable costing. The company sold 12,000 units, and its variable costs were $10 per unit, of which $4 was variable selling expense. If production cost per unit under absorption costing is $13 per unit every year, how many units did the company produce during the year?

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter10: Cost Analysis For Management Decision Making

Section: Chapter Questions

Problem 8E: The sales price per unit is 13 for the Voyageur Companys only product. The variable cost per unit is...

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