QUESTION 40 Advanced Company reports the following information for the current year. All beginning inventory amounts equaled $0 this year. Given Advanced Company's data, and the knowledge that the product is sold for $80 per unit and operating expenses are $400,000, compute the net income under variable costing. Units produced this year 25000 units Unis sold this year 15000 units Direct materials $9 per unit Direct labor $11 per unit Variable overhead $75,000 in total Fixed overhead $137,500 in total 0 $55,000 0 $317,500 0 $80,500 0 $372,500 O $887,500 QUESTION 32 A company is currently operating at 70% capacity producing 8,000 units. Cost information relating to this current production is shown in the table below. The company has been approached by a customer with a request for a special order for 1,500 units. The sales price per unit for this special order is $10. By how much will net income change if the company accepts this special order? Sales price $15.00 Per Unit Direct material $3.20 Per Unit Direct labor $7.10 Per Unit Variable overhead $0.05 Per Unit Fixed overhead $4,800.00 Per year Q $15,000 Increase O $1,425 Decrease O $525 Decrease O $22,500 Increase O $10,200 Increase QUESTION 33 Geneva Company manufactures dolls that are sold to various customers. The company works at full capacity for half the year to meet peak demand, and operates at 80% capacity for the other half of the year. The production and sales information is shown in the table below. Geneva receives a purchase order to make 5,000 dolls as a onetime event. The good news is that this order is during a period when Geneva does have excess capacity. By how much will net income change if the company accepts this special order at $28 per unit? Units produced and sold 600,000 Selling price $35 Per Unit Variable manufacturing costs $20 Per Unit Fixed manufacturing costs 51.200000 Per Year Variable selling and administrative costs $6 Per Unit Fixed selling and administrative costs $950,000 Per Year O $140,000 Increase O $10,000 Increase 0 $10,000 Decrease 0 $1,060,000 Decrease O $35,000 Decrease