A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: What is the net operating income for the month under absorption costing?
A)$15,900
B)$19,200
C)$10,200
D)$9,000

Question

A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations:  What is the net operating income for the month under absorption costing?
A)$15,900 
B)$19,200 
C)$10,200 
D)$9,000

Quizplus · Accepted Answer

Unit fixed manufacturing overhead = $227,800 F1F1F1S1F1F1F10 6,700 = $34
Unit product cost = $34 + $43 + $35 + $5 = $117
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A Manufacturing Company That Produces a Single Product Has Provided