The net income under variable costing would be: *   a. P64,000 b. P60,000 c. P56,000 d. P52,000 The net income under absorption costing would be: *   a. The same as the income under variable costing. b. P8,000 greater than the income under variable costing. c. P12,000 greater than the income under variable costing. d. P8,000 less than the income under variable costing.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The net income under variable costing would be: *

 

a. P64,000

b. P60,000

c. P56,000

d. P52,000

The net income under absorption costing would be: *

 

a. The same as the income under variable costing.

b. P8,000 greater than the income under variable costing.

c. P12,000 greater than the income under variable costing.

d. P8,000 less than the income under variable costing.

For the next 3 items. Andrew
Company manufactures a
single product. The following
data pertain to the company's
operations last year: (refer to
image) At the beginning of the
year there was no units in
inventory. A total of 12,000
units were produced during the
year, and 10,000 units were
sold. Under variable costing,
the unit product cost is: *
Selling price per unit
Variable costs per unit
P24
Production
P8
Selling and administrative
P2
Fixed costs in total:
Production
P48,000
Selling and administrative
P36,000
a. P8.00
O b. P10.00
c. P12.00
O d. P14.00
Transcribed Image Text:For the next 3 items. Andrew Company manufactures a single product. The following data pertain to the company's operations last year: (refer to image) At the beginning of the year there was no units in inventory. A total of 12,000 units were produced during the year, and 10,000 units were sold. Under variable costing, the unit product cost is: * Selling price per unit Variable costs per unit P24 Production P8 Selling and administrative P2 Fixed costs in total: Production P48,000 Selling and administrative P36,000 a. P8.00 O b. P10.00 c. P12.00 O d. P14.00
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