Q1: what is the net operating income under the variable and absorption cost system. A: ACER company Product sales: 1,000 units at $10 each Variable manufacturing costs: $5.50 per unit Fixed manufacturing overhead (planned and actual): $1,200 Variable selling and administrative costs: $0.50 per unit sold Fixed selling and administrative costs: $1,000 No beginning inventory Units produced (planned and actual): 1,200. Operating income under variable (direct) costing is: B: RENO Corporation produces a single product. Last year, the company had net operating income of $50,000 using variable costing. Beginning and ending inventories were 13,000 units and 18,000 units, respectively. If the fixed manufacturing overhead cost was $2.00 per unit, what would have been the net operating income using absorption costing? Evaluate the effects of a beginning and ending inventory. A: A manufacturer at the end of its fiscal year recorded the data below: Prime cost $800,000 Variable manufacturing overhead 100,000 Fixed manufacturing overhead 160,000 Variable selling and other expenses 80,000 Fixed selling and other expenses 40,000 Using absorption (full) costing, inventoriable costs are: B: Citi Corporation manufactures a product. Shown below is Rawan's cost structure: Manufacturing cost Selling and administrative Variable cost/ product fixed cost for the year $114 . $20 $810,000 $243,000 In its first year of operations, Rawan produced 60,000 products but only sold 54,000. At what amount will Citi report its cost of goods sold for this first year for external reporting purposes?