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Plummer Corporation has provided the following data for its two most recent years of operation Selling price per unit Manufacturing costs: 44 Variable manufacturing cost
Plummer Corporation has provided the following data for its two most recent years of operation Selling price per unit Manufacturing costs: 44 Variable manufacturing cost per unit produced: Direct materials Direct labor $ 6 Variable manufacturing overhead Fixed manufacturing overhead per year 4 $63,000 Selling and administrative expenses: Variable selling and administrative expense per unit $ sold Fixed selling and administrative expense per year $66,000 Year 2 Year Units in beginning inventory Units produced during the year Units sold during the year C 2,000 7,000 9,000 7,000 8,000 Units in ending inventory 2,000 1,000 The net operating income (loss) under absorption costing in Year 2 is closest to: Multiple Choice $31,000 $26,000 $132,000 $92,000
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