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Use the information below to answer questions 1 to 3 : Gloria's Decorating produces and sells a mantel clock for $180 per unit. In 2022,
Use the information below to answer questions 1 to 3 : Gloria's Decorating produces and sells a mantel clock for $180 per unit. In 2022, its first year of operations, 40,000 clocks were produced and 38,000 were sold. Other information for the year includes: 1. What is the inventoriable cost per unit using variable costing? a) $45.00 b) $52.50 c) $65.00 d) $115.00 2. What is the inventoriable cost per unit using absorption costing? a) $45.00 b) $52.50 c) $115.00 d) $80.00 3. Which of the following is true when Gloria's operating income under absorption and variable costing for 2022 are compared: a) Income under absorption costing is greater than income under variable costing by $200,000 b) Income under variable costing is greater than income under absorption costing by $200,000 c) Income under absorption costing is greater than income under variable costing by $125,000 d) Income under variable costing is greater than income under absorption costing by $125,000 e) They are both equal
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