For the year 20x2, Amateur's income under absorption costing was $5,000 lower than its income under variable costing. The company sold 25,000 units during the year. The companies variable costs were $15 per unit, of which $5 were variable selling costs. If the production cost i under absorption costing is $18 per unit, how many units did the company produce during the year? 23333 24722 24500 O 24615
For the year 20x2, Amateur's income under absorption costing was $5,000 lower than its income under variable costing. The company sold 25,000 units during the year. The companies variable costs were $15 per unit, of which $5 were variable selling costs. If the production cost i under absorption costing is $18 per unit, how many units did the company produce during the year? 23333 24722 24500 O 24615
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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1.
Transcribed Image Text:Question 8,
For the year 20x2, Amateur's income under absorption costing was $5,000 lower
than its income under variable costing. The company sold 25,000 units during the
year. The companies variable costs were $15 per unit, of which $5 were variable
selling costs. If the production cost i under absorption costing is $18 per unit, how
many units did the company produce during the year?
23333
O 24722
24500
24615
Question 9,
If variable and fixed cost per unit remains the same, and we produce 1000 more
units.
O None of these answers are correct
Cost per unit increases
Cost per unit remains the same
O Cost per unit decreases
Question 10,
Cheetah co is planning to sell 500,000 units for 4.00 a unit and will just break even
at this level of sales. The contribution margin ratio is 20%. What is Cheetah co's fixed
expenses?
400000
2000000
2500000
499980
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