GwapoAko Corporation provides the following information for the month of February based on the production of 20,000 units: Direct materials - P 50,000; Direct labor - P30,000; Variable factory overhead costs - P20,000; Fixed factory overhead costs - P25,000; Variable selling and administrative expenses - P40,000; Fixed selling and administrative expenses - P15,000. How many units were sold if variable costing profit is higher than absorption costing profit by P 2,500? * a. 18,000 units b. 18,889 units c. 21,111 units d. 22,000 units
GwapoAko Corporation provides the following information for the month of February based on the production of 20,000 units: Direct materials - P 50,000; Direct labor - P30,000; Variable factory overhead costs - P20,000; Fixed factory overhead costs - P25,000; Variable selling and administrative expenses - P40,000; Fixed selling and administrative expenses - P15,000. How many units were sold if variable costing profit is higher than absorption costing profit by P 2,500? * a. 18,000 units b. 18,889 units c. 21,111 units d. 22,000 units
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter2: Basic Cost Management Concepts
Section: Chapter Questions
Problem 22E: Ellerson Company provided the following information for the last calendar year: During the year,...
Related questions
Question
GwapoAko Corporation provides the following information for the month of February based on the production of 20,000 units: Direct materials - P 50,000; Direct labor - P30,000; Variable factory overhead costs - P20,000; Fixed factory overhead costs - P25,000; Variable selling and administrative expenses - P40,000; Fixed selling and administrative expenses - P15,000.
How many units were sold if variable costing profit is higher than absorption costing profit by P 2,500? *
How many units were sold if variable costing profit is higher than absorption costing profit by P 2,500? *
a. 18,000 units
b. 18,889 units
c. 21,111 units
d. 22,000 units
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
![Financial And Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337902663/9781337902663_smallCoverImage.jpg)
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
![Managerial Accounting: The Cornerstone of Busines…](https://www.bartleby.com/isbn_cover_images/9781337115773/9781337115773_smallCoverImage.gif)
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning