Question
Dalton Corporation has fixed manufacturing cost of AED12 per unit. Consider the three independent cases that follow. Case A: Absorption- and variable costing income each
Dalton Corporation has fixed manufacturing cost of AED12 per unit. Consider the three independent cases that follow.
Case A:Absorption- and variable costing income each totaled AED240,000 in a period when the firm produced 18,000 units.
Case B:Absorption-costing income totaled AED320,000 in a period when finished-goods inventory levels rose by 7,000 units.
Case C:Absorption-costing income and variable-costing income respectively totaled AED220,000 and AED250,000 in a period when the beginning finished-goods inventory was 14,000 units.
Required:
A. In Case A, how many units were sold during the period?
B. In Case B, how much income would Dalton report under variable costing?
C. In Case C, how many units were in the ending finished-goods inventory?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started