During 20x5, Bey Company reported an operating income of $80419 using absorption costing and an operating income of $67496 using variable costing. 18111 units were produced during 20x5 and sales during 20x5 totaled 14970. What is he fixed overhead application rate per unit (it has been stable for the past 3 years)?

Select one:

a. $0.86

b. $12923

c. $0.71

d. $4.11

Miller Co. started operations on January 1, 20x8. Data for the first year of operations is as follows:

		20x8
Production (units)		68839
Sales (units)		56354
Selling price		$80
Variable costs
	Production	54
	Selling and administrative	16
Fixed costs
	Production	889320
	Selling and administrative	559172

What is the contribution margin for 20x8 if variable costing is used?

Select one:

a. $363780

b. $-338124

c. $1465204

d. $563540