Front Company had net income of $88,500 based on variable costing. Beginning and ending inventories were 2,400 units and 4,400 units, respectively. Assume the fixed overhead per unit was $8.70 for both the beginning and ending inventory. What is net income under absorption costing? Multiple Choice • 89,700 • 29,340 $147,660 • S105,900 S71,100

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Front Company had net income of $88,500 based on variable costing. Beginning and ending inventories
were 2,400 units and 4,400 units, respectively. Assume the fixed overhead per unit was $8.70 for both the
beginning and ending inventory. What is net income under absorption costing?
Multiple Choice
• 89,700
• $29,340
$147,660
S105,900
• S71,100
Transcribed Image Text:Front Company had net income of $88,500 based on variable costing. Beginning and ending inventories were 2,400 units and 4,400 units, respectively. Assume the fixed overhead per unit was $8.70 for both the beginning and ending inventory. What is net income under absorption costing? Multiple Choice • 89,700 • $29,340 $147,660 S105,900 • S71,100
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