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Rosewood Corporation Rosewood Corporation Produces a Single Product.The Following Cost Structure Applied

Question 180

Multiple Choice

Rosewood Corporation
Rosewood Corporation produces a single product.The following cost structure applied to its

 Variable costs:  
  SG&A  $2 per unit
  Production  $4 per unit
 Fixed costs (total cost incurred for the year) :  
  SG&A  $14,000
  Production  $20,000

Refer to Rosewood Corporation.Assume for this question only that Rosewood Corporation produced 5,000 units and sold 4,500 units in the current year.If Rosewood uses absorption costing,it would deduct period costs of


A) $24,000.
B) $34,000.
C) $27,000.
D) $23,000.

Correct Answer:

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