Itzy 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 30,000 Variable factory overhead costs 20,000 Fixed factory overhead costs 25,000 Variable selling and administrative expenses 40,000 Fixed selling and administrative expenses 15,000 What selling price will earn a gross profit of P 2.50 per unit under absorption costing? O P 10.50 O P3.75 O P8.75 O P9.50
Itzy 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 30,000 Variable factory overhead costs 20,000 Fixed factory overhead costs 25,000 Variable selling and administrative expenses 40,000 Fixed selling and administrative expenses 15,000 What selling price will earn a gross profit of P 2.50 per unit under absorption costing? O P 10.50 O P3.75 O P8.75 O P9.50
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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What selling price will earn a gross profit of P 2.50 per unit under absorption costing?
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