Gabuat Corporation, which has only one product, has provided the following data concerning its most recent month of operations $ 106 Selling price Units in beginning inventory Units produced 2,600 Units sold 2,200 Units in ending inventory 400 Variable costs per unit: $ 46 $ 28 $ 2 $ 7 Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expense $33,800 $ 8,800 The total gross margin for the month under the absorption costing approach is:

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Gabuat Corporation, which has only one product, has provided the following data concerning its most recent month of operations
$ 106
Selling price
Units in beginning inventory
Units produced
2,600
Units sold
2,200
Units in ending inventory
400
Variable costs per unit:
$ 46
$ 28
$ 2
Direct materials
Direct labor
Variable manufacturing overhead
Variable selling and administrative expense
$ 7
Fixed costs:
Fixed manufacturing overhead
Fixed selling and administrative expense
$33,800
$ 8,800
The total gross margin for the month under the absorption costing approach is:
Transcribed Image Text:Gabuat Corporation, which has only one product, has provided the following data concerning its most recent month of operations $ 106 Selling price Units in beginning inventory Units produced 2,600 Units sold 2,200 Units in ending inventory 400 Variable costs per unit: $ 46 $ 28 $ 2 Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense $ 7 Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expense $33,800 $ 8,800 The total gross margin for the month under the absorption costing approach is:
Multiple Choice
$13,200
$73,000
$37,400
$50,600
Transcribed Image Text:Multiple Choice $13,200 $73,000 $37,400 $50,600
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