If variable costing had been used, operating income would be
A) $27,040
B) $56,560
C) $52,960
D) $45,040

Name: If variable costing had been used, operating income would be A) $27,040 B) $56,560 C) $52,960 D) $45,040
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Quizplus · Accepted Answer

Variable costing would ignore the fixed manufacturing overhead costs, so the operating income would be the contribution margin of $56,560 less the variable selling and administrative expenses of $29,520, resulting in an operating income of $27,040.

If Variable Costing Had Been Used, Operating Income Would Be