Carr Company produces a single product. Last year, Carr manufactured 34,250 units and sold 28,400 units. Production
Question:
Fixed manufacturing overhead....................................$650,750
Variable manufacturing overhead.................................$256,875
Direct labor...........................................................$140,425
Direct materials......................................................$284,275
Sales were $1,434,200, for the year, variable selling and administrative expenses were $167,560, and fixed selling and administrative expenses were $215,775. There was no beginning inventory. Assume that direct labor is a variable cost. Under absorption costing, the ending inventory for the year would be valued at: (Do not round intermediate calculations.)
A. $289,065
B. $297,565
C. $227,565
D. $255,065
Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...
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Related Book For
Managerial Accounting
ISBN: 9780073526706
12th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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