Figure 8-1. Last year,Fabre Company produced 20,000 units and sold 18,000 units at a price of $12.Costs for last year were as follows:
Fixed factory overhead is applied based on expected production.Last year,Fabre expected to produce 20,000 units.
Refer to Figure 8-1.What is operating income for last year under variable costing?
A)$111,800
B)$91,780
C)$82,200
D)$78,400
E)$66,350

Question

Figure 8-1. Last year,Fabre Company produced 20,000 units and sold 18,000 units at a price of $12.Costs for last year were as follows:
 Fixed factory overhead is applied based on expected production.Last year,Fabre expected to produce 20,000 units.
Refer to Figure 8-1.What is operating income for last year under variable costing?
A)$111,800 
B)$91,780 
C)$82,200 
D)$78,400 
E)$66,350

Quizplus · Accepted Answer

The Answer of Figure 8-1. Last year,Fabre Company produced 20,000 units and sold 18,000 units at a price of $12.Costs for last year were as follows:
 Fixed factory overhead is applied based on expected production.Last year,Fabre expected to produce 20,000 units.
Refer to Figure 8-1.What is operating income for last year under variable costing?
A)$111,800 
B)$91,780 
C)$82,200 
D)$78,400 
E)$66,350