The following data are available regarding an organization who makes a single product. Period 1 Production (units) 15,000 Sales 14,000 Opening Stock _ Closing Stock 1,000 The following cost structure applies ( based on a budgeted level of 17,000 units per period). Cost per unit $ Direct Material 3.00 Direct Labour 7.00 Production Overheads 3.00 13.00 Selling price is $16 per unit Administrative overheads are $15,000 per period and the budgeted production overheads are $51,000 per period of which $34,000 ((2)/(3)) are fixed. What is the Marginal Costing Profit/Loss? Question 15Select one: A. $83,000 B. $35,000 C. $ 21,000 D. $63,000

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The following data are available regarding an organization who makes a single product. Period 1 Production
(units) 15,000 Sales 14,000 Opening Stock _ Closing Stock 1,000 The following cost structure applies (
based on a budgeted level of 17,000 units per period). Cost per unit $ Direct Material 3.00 Direct Labour
7.00 Production Overheads 3.00 13.00 Selling price is $16 per unit Administrative overheads are $15,000 per
period and the budgeted production overheads are $51,000 per period of which $34,000 ((2)/(3)) are
fixed. What is the Marginal Costing Profit/Loss? Question 15Select one: A. $83,000 B. $35,000 C. $
21,000 D. $63,000
Transcribed Image Text:The following data are available regarding an organization who makes a single product. Period 1 Production (units) 15,000 Sales 14,000 Opening Stock _ Closing Stock 1,000 The following cost structure applies ( based on a budgeted level of 17,000 units per period). Cost per unit $ Direct Material 3.00 Direct Labour 7.00 Production Overheads 3.00 13.00 Selling price is $16 per unit Administrative overheads are $15,000 per period and the budgeted production overheads are $51,000 per period of which $34,000 ((2)/(3)) are fixed. What is the Marginal Costing Profit/Loss? Question 15Select one: A. $83,000 B. $35,000 C. $ 21,000 D. $63,000
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