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Lynch Company manufactures and sells a single product. The following costs were incurred during the 2019 and 2020 years: Direct labor $15 per unit Fixed
Lynch Company manufactures and sells a single product. The following costs were incurred during the 2019 and 2020 years:
Direct labor | $15 per unit |
Fixed manufacturing overhead | $350,000 |
Variable manufacturing overhead | $4 per unit |
Direct materials | $30 per unit |
Fixed selling and administrative expenses | $100,000 |
Variable selling and administrative | $10 per unit |
Sales price | $70 per unit |
| Units Produced | Units Sold |
2019 | 60,000 | 55,000 |
2020 | 50,000 | 65,000 |
What is the 2019 net operating income under super variable costing?
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