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Tack Corporation produces a single product with the following information available: Number of units produced annually: 25,000 Variable product cost: $12/unit Variable S&A cost: $7/unit
Tack Corporation produces a single product with the following information available:
Number of units produced annually: 25,000
Variable product cost: $12/unit
Variable S&A cost: $7/unit
Fixed costs per year:
Manufacturing OH: $125,000
S&A Cost: $111,000
22,645 units were sold last year by Tack at the price of $45 each.
1) What was the amount of difference between NOI under absorption costing and NOI under variable costing for Tack at the end of last year?
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