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Red and White Company reported the following monthly data: Units produced 2,000 units Sales price $25 per unit Direct materials $1 per unit Direct labor
Red and White Company reported the following monthly data:
Units produced 2,000 units
Sales price $25 per unit
Direct materials $1 per unit
Direct labor $2 per unit
Variable overhead $3 per unit
Fixed overhead $8,000 in total
What is Red and Whites net income under variable costing if 980 units are sold and operating expenses are $12,000?
- $(1,380)
- $(2,000)
- $ 2,700
- $ 6,620
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