A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (18,600 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead Operating expenses: Variable operating expenses $124,500 Fixed operating expenses 48,400 172,900 If 1,600 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is O a. $69,135 O b. $58,416 Oc. $66,262 Od. $81,135 $182,900 234,400 261,900 91,100 $770,300
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (18,600 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead Operating expenses: Variable operating expenses $124,500 Fixed operating expenses 48,400 172,900 If 1,600 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is O a. $69,135 O b. $58,416 Oc. $66,262 Od. $81,135 $182,900 234,400 261,900 91,100 $770,300
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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