Hendrix & Franks Company had the following beginning and ending inventory balances for the current year ended December 31:
In addition, direct labor costs of $33,000 were incurred, manufacturing overhead equaled $46,200, materials purchased were $29,700, and selling and administrative costs were $24,200.Hendrix & Franks Co.sold 27,500 units of product during the year at a sales price of $5.25 per unit.
- What was the operating income (loss) for the year?

A) $18,500
B) $125,000
C) $3,025
D) $2,000

Question

Hendrix & Franks Company had the following beginning and ending inventory balances for the current year ended December 31:  
 In addition, direct labor costs of $33,000 were incurred, manufacturing overhead equaled $46,200, materials purchased were $29,700, and selling and administrative costs were $24,200.Hendrix & Franks Co.sold 27,500 units of product during the year at a sales price of $5.25 per unit.
- What was the operating income (loss) for the year?
 
A) $18,500 
B) $125,000 
C) $3,025 
D) $2,000

Quizplus · Accepted Answer

SUPPORTING CALCULATIONS:
 
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 11ea8a4c_491b_d5e0_a0e6_b91798e5c6b8_TB5550_00 11ea8a4c_491b_d5e1_a0e6_1f4417b6fa1f_TB5550_00

Hendrix & Franks Company Had the Following Beginning and Ending