Question 7 of 8 1.25 / 5 III View Policies Show Attempt History Current Attempt in Progress Sheridan Company produced 9,600 units during the past year, but only 8,200 of the units were sold. The following additional information is also available. Direct materials used $74,300 Direct labor incurred $30,500 Variable manufacturing overhead $20,000 Fixed manufacturing overhead $57,600 Fixed selling and administrative expenses $71,500 Variable selling and administrative expenses $12,000 There was no work in process inventory at the beginning and end of the year, nor did Sheridan have any beginning finished goods inventory. (a) Your answer is incorrect. What would be Sheridan Company's finished goods inventory cost on December 31 under variable costing? (Round intermediate calculations to 2 decimal places e.g. 10.25 and final answer to O decimal places, e.g. 2,510.) Finished goods inventory cost $ e Textbook and Media Save for Later Last saved 2 seconds ago. Attempts: 2 of 3 used Submit Answer Saved work will be auto-submitted on the due date. Auto- submission can take up to 10 minutes. Using multiple attempts will impact your score. 10% score reduction after attempt 2 (b) Your answer is partially correct. Which costing method, absorption or variable costing, would show a higher net income for the year? By what amount? (Round intermediate calculations to 2 decimal places e.g. 10.25 and final answer to 0 decimal places, e.g. 2,510.) Absorption Costing v method would show a higher net income by $ e Textbook and Media Save for Later Attempts: 1 of 3 used Submit Answer Using multiple attempts will impact your score. 10% score reduction after attempt 2