Check my v 10 Assume the following information for each of the first two years of operations for a company that sells only one product for a price of $48 per unit: 1 points $ 25 Skipped Variable cost per unit: Direct materials Fixed costs per year: Direct labor Fixed manufacturing overhead Fixed selling and administrative expenses $ 140,000 $ 200,000 $ 70,000 eBook Print References The company does not incur any variable manufacturing overhead costs or variable selling and administrative expenses. During its first year of operations, the company produced 20,000 units and sold 18,000 units. During its second year of operations, in produced 20,000 units and sold 22,000 units. The company wishes to compare an absorption costing system that assigns $7.00 of direct labor cost and $10.00 of fixed manufacturing overhead cost to each unit produced with a super-variable costing system. Which of the following statements is true when comparing these two cost systems in Year 2? Check my 10 Multiple Choice 1 points Skipped The absorption costing net operating income will be $24,000 less than the super-variable costing net operating income. eBook Print The absorption costing net operating income will be $34,000 less than the super-variable costing net operating income. References a The absorption costing net operating income will be $24,000 greater than the super-variable costing net operating income. The absorption costing net operating income will be $34,000 greater than the super-variable costing net operating income. 11 Assume the following information for a company that produced 10,000 units and sold 9,000 units during its first year of operations: Per Year 1 points Per Unit $ 200 $ 74 $ 50 $ 12 $ 8 Selling price Direct materials Direct labor Variable manufacturing overhead Sales commission Fixed manufacturing overhead Skipped eBook $ 300,000 Print Using absorption costing, what is the cost of the company's ending inventory? References Check my wol 11 Multiple Choice 1 points Skipped $136,000 eBook Print $166,000 References $144,000 $31,000 Check my 14 Assume that a company maintains no beginning or ending inventories and produces and sells 4,000 units of only one product for a price of $130 per unit. The company's variable manufacturing costs per unit are $80 and its fixed manufacturing overhead per unit is $24. Its variable selling and administrative expense is $12 per unit and its fixed selling and administrative expense is $50,000. What is the company's net operating income under absorption costing? 1 points Skipped Multiple Choice eBook Print $4,000 References $6.000 U $10,000 $2,000 Chec 15 Assume a company with two divisions (A and B) prepared the following segmented income statement: A 1 points Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income B $ 200,000 140,000 ? 80,000 $ (20,000) 120,000 ? 100,000 Skipped Total $ ? 260,000 ? 180,000 ? eBook Print 50,000 $ 10,000 References What is Division A's contribution margin? Check my w 15 Multiple Choice 1 points Skipped $140,000 eBook Print $180,000 References $160,000 $200,000 Check my 3 Assume the following information for the first year of operations for a company that sells only one product for a price of $48 per unit: 1 points $ 25 Variable cost per unit: Direct materials Fixed costs per year: Direct labor Fixed manufacturing overhead Fixed selling and administrative expenses Skipped $ 140,000 $ 200,000 $ 70,000 eBook Print The company does not incur any variable manufacturing overhead costs or variable selling and administrative expenses. During its first year of operations, the company produced 20,000 units and sold 18,000 units. References The company wishes to compare an absorption costing system that assigns $7.00 of direct labor cost and $10.00 of fixed manufacturing overhead cost to each unit produced with a super-variable costing system. Which of the following statements is true when comparing these two cost systems? Check n 3 Multiple Choice 1 points Skipped The absorption costing net operating income will be $24,000 less than the super-variable costing net operating income. eBook Print References The absorption costing net operating income will be $34,000 less than the super-variable costing net operating income. The absorption costing net operating income will be $24,000 greater than the super-variable costing net operating income. 0 The absorption costing net operating income will be $34,000 greater than the super-variable costing net operating income
