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Boise, Inc., planned and actually manufactured 1 9 0 , 0 0 0 units of its single product in 2 0 2 0 , its

Boise, Inc., planned and actually manufactured 190,000 units of its single product in 2020, its first year of operation. Variable manufacturing cost was $18 per unit produced. Variable
operating (nonmanufacturing) cost was $11 per unit sold. Planned and actual fixed manufacturing costs were $570,000. Planned and actual fixed operating (nonmanufacturing) costs
totaled $370,000. Boise sold 120,000 units of product at $38 per unit.
Read the requirements.
Requirement 1. Boise's 2020 operating income using absorption costing is (a) $350,000,(b) $140,000,(c) $510,000,(d) $720,000, or (e) none of these. Show supporting calculations.
Begin by selecting the labels used in the absorption costing calculation of operating income and enter the supporting amounts. Perform the calculations in this step, but select the
correct operating income in the next step. (For amounts with a $0 balance, make sure to enter "0" in the appropriate cell.)
Absorption costing
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