Vacationnatalaga Corporation produces a single product. Data concerning thecompany's first year of operations appear below:Units produced10,000Units sold9,000Selling price per unitP60DMP15DLPSVariable OHP2Variable selling and administrativeP4Fixed OHP200,000Fixed selling and administrativeP70,000If the company produces 12,000 units and sells 13,000 units in thsecond year, how much higher or lower will the variable operatinincome be compared to the absorption operating income. Indicate youanswer as a positive number if higher ex. 123456 or a negative numbeif lower ex. (123456).

The difference in variable cost and absorption is that of treatment of fixed manufacturing overhead.…

Vacationnatalaga Corporation produces a single product. Data concerning the company's first year of operations appear below: Units produced 10,000 Units sold 9,000 Selling price per unit P60 DM P15 DL PS Variable OH P2 Variable selling and administrative P4 Fixed OH P200,000 Fixed selling and administrative If the company produces 12,000 units and sells 13,000 units in th P70,000 second year, how much higher or lower will the variable operatin income be compared to the absorption operating income. Indicate you answer as a positive number if higher ex. 123456 or a negative numbe if lower ex. (123456).

Vacationnatalaga Corporation produces a single product. Data concerning the company's first year of operations appear below: Units produced 10,000 Units sold 9,000 Selling price per unit P60 DM P15 DL PS Variable OH P2 Variable selling and administrative P4 Fixed OH P200,000 Fixed selling and administrative If the company produces 12,000 units and sells 13,000 units in th P70,000 second year, how much higher or lower will the variable operatin income be compared to the absorption operating income. Indicate you answer as a positive number if higher ex. 123456 or a negative numbe if lower ex. (123456).

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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