Indiana Corporation produces a single product that it sells for $9 per unit.During the first year of operations,100,000 units were produced and 90,000 units were sold.Manufacturing costs and selling and administrative expenses for the year were as follows:

What was Indiana Corporation's operating income for the year using variable costing?
A) $181,000.
B) $271,000.
C) $281,000.
D) $371,000.

Question

Indiana Corporation produces a single product that it sells for $9 per unit.During the first year of operations,100,000 units were produced and 90,000 units were sold.Manufacturing costs and selling and administrative expenses for the year were as follows:

What was Indiana Corporation's operating income for the year using variable costing?

What was Indiana Corporation's operating income for the year using variable costing?
A) $181,000. 
B) $271,000. 
C) $281,000. 
D) $371,000.

Quizplus · Accepted Answer

The Answer is B

Indiana Corporation Produces a Single Product That It Sells for $9