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21. Loyal Co. produces three types of men's undershirts T-shirts, V-neck shirts, and athletic shirts. In the Folding and Packaging Department, operations costing is used to apply costs to individual units, based on the standard time allowed to fold and package each type of undershirt. The standard time to fold and package each type of undershirt is as follows. T-shirt V-neck shirt Athletic shirt 40 seconds per shirt 40 seconds per shirt 20 seconds per shirt During the month of April, Loyal produced and sold 50,000 T-shirts. 30,000 V-neck shirts, and 20,000 athletic shirts. If costs in the Folding and Packaging Department were $78,200 during April, how much folding and packaging cost should be applied to each T-shirt? a. S.52134. b. S.6256. c. $.7820. d. $.8689. 22. Dremmon Corporation uses a standard cost accounting system. Data for the last fiscal year are as follows. Units Beginning inventory of finished goods 100 Production during the year 700 Sales 750 Ending inventory of finished goods 50 Per Unit Product selling price Standard variable manufacturing cost Standard fixed manufacturing cost $200 90 20* $45.000 Budgeted selling and administrative costs (all fixed) *Denominator level of activity is 750 units for the year. There were no price, efficiency, or spending variances for the year, and actual selling and administrative expenses equaled the budget amount. Any volume variance is written off to cost of goods sold in the year incurred. There are no work-in-process inventories. Assuming that Dremmon used absorption costing, the amount of operating income earned in the last fiscal year was a. $21.500. b. $27,000. c. $28.000. d. $30,000