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96 24. Buena Company manufactures a single product and has the following cost structure: Variable costs per unit Direct materials Php 72 Direct labor Variable
96 24. Buena Company manufactures a single product and has the following cost structure: Variable costs per unit Direct materials Php 72 Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs per month Fixed manufacturing overhead Php2,400,000 Fixed selling and administrative costs 1,400,000 24 48 The Company produces 24,000 units each month. Assume that there are no beginning inventories and 24,000 units were produced and 23,600 units were sold in a month. If the unit selling price is Php420, what is the net income under absorption costing? A. Php448,000 C. Php428,800 B. Php488,000 D. Php408,000
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