SU 6: Managerial Accounting 6.3 Absorption (Full) vs. Variable (Direct) Costing Questions 6 and 7 are based on the following information. A company manufactures and sells a single product. Planned and actual production in its first year of operation was 100,000 units. Planned and actual costs for that year were as follows: 6. Using absorption costing, the company's operating profit was A. US $750,000 B. US $900,000 C. US $975,000 D. US $1,020,000 7. Using variable costing, the company's operating profit was A. US $750,000 B. US $840,000 C. US $915,000 D. US $975,000