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King Company produces a single product. During October, the company had net operating income under absorption costing that was P3,500 lower than under variable costing.

King Company produces a single product. During October, the company had net operating income under absorption costing that was P3,500 lower than under variable costing. The company sold 7,000 units in October, and its variable costs were P7 per unit, of which P3 was variable selling expense. If fixed manufacturing overhead was P2 per unit under absorption costing, then how many units did the company produce during October?

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