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During the last year, Hansen Company had operating income under absorption costing that was $5,500 lower than its operating income under variable costing. The company
During the last year, Hansen Company had operating income under absorption costing that was $5,500 lower than its operating income under variable costing. The company sold 9,000 units during the year, and its variable costs were $10 per unit, of which $6 was variable selling expense. If fixed production cost is $5 per unit under absorption costing every year, how many units dic the company produce during the year? a. 7,900 units b. 7,625 units O C. 10,100 units d. 8,450 units
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