Sterling Technologies reports the following information for June: Sales: $850,000 Fixed cost of goods sold: $95,000 Variable cost of goods sold: $235,000 Fixed selling and administrative costs: $98,000 Variable selling and administrative costs: $120,000 Calculate the gross margin for June under absorption costing. a. $620,000 b. $520,000 c. $425,000 d. $485,000

Sterling Technologies reports the following information for June: Sales: $850,000 Fixed cost of goods sold: $95,000 Variable cost of goods sold: $235,000 Fixed selling and administrative costs: $98,000 Variable selling and administrative costs: $120,000 Calculate the gross margin for June under absorption costing. a. $620,000 b. $520,000 c. $425,000 d. $485,000

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 4PB: West Island distributes a single product. The companys sales and expenses for the month of June are...

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