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The following information is for LaPlanche Industries Inc.: East West Sales volume (units): Product XX 45,000 38,000 Product YY 60,000 50,000 Sales Price: Product XX
The following information is for LaPlanche Industries Inc.:
East | West | |
Sales volume (units): | ||
Product XX | 45,000 | 38,000 |
Product YY | 60,000 | 50,000 |
Sales Price: | ||
Product XX | $700 | $660 |
Product YY | $728 | $720 |
Variable cost per unit: | ||
Product XX | $336 | $336 |
Product YY | $360 | $360 |
If a company is setting prices in the short-term, which costing method will be most appropriate?
Variable costing or absorption costing?
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