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Boise, Inc., planned and actually manufactured 240,000 units of its single product in 2017, its first year of operation. Variable manufacturing cost was $13 per
Boise, Inc., planned and actually manufactured 240,000 units of its single product in 2017, its first year of operation. Variable manufacturing cost was $13 per unit produced. Variable operating (nonmanufacturing) cost was $11 per unit sold. Planned and actual fixed manufacturing costs were $1,200,000. Planned and actual fixed operating (nonmanufacturing) costs totaled $370,000. Boise sold 150,000 units of product at $37 per unit. Read the requirements. Requirements 1. Boise's 2017 operating income using absorption costing is (a) $830,000, (b) $380,000, (c) $750,000, (d) $1,200,000, or (e) none of these. Show supporting calculations, 2. Boise's 2017 operating income using variable costing is (a) $1,580,000, (b) $830,000, (c) $380,000, (d) $750,000, or (e) none of these. Show supporting calculations Print Done
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