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The total value of these multiple choice questions is 22 points. Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct material $100,000 Direct labor 75,000 Variable manufacturing overhead 50,000 Fixed manufacturing overhead 75,000 Sales totaled $440,000, variable selling and administrative expenses were $110,000, and fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labor is a variable cost. Under absorption costing, the gross margin would be (3 pts): A) $176,000 B) $242,000 C) $66,000 D) $21,000 Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: - Direct material $100,000 Direct labor 75,000 Variable manufacturing overhead 50,000 Fixted manufacturing overhead 75,000 Sales totaled $440,000, variable selling and administrative expenses were $110,000, and fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labor is a variable cost. Under variable costing, the total amount of fixed manufacturing cost in the ending inventory would be (2 pts): A) $ 0 B) $9,000 C) $14,400 D) $27,000 Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct material $100,000 Direct labor 75,000 Variable manufacturing overhead 50,000 Fixed manufacturing overhead 75,000 Sales totaled $440,000, variable selling and administrative expenses were $110,000, and fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labor is a variable cost. The net income under variable costing would be (4 pts): OA) $ 2,000 B) $21,000 C) $12,000 D) $9,000 Last year, Walsh Company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct material $100,000 - Direct labor 75,000 Variable manufacturing overhead 50,000 Fixed manufacturing overhead 75,000 Sales totaled $440,000, variable selling and administrative expenses were $110,000, and fixed selling and administrative expenses were $45,000. There was no beginning inventory. Assume that direct labor is a variable cost. The net income under absorption costing would be (4 pts): OA) $ 9,000 B) $12,000 C) $2,000 D) $21,000