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During Its First Year of Operations, Kima Corp

Question 51

Multiple Choice

During its first year of operations, Kima Corp. experienced the following: Units manufactured 70,000
Units sold 60,000
Product costs:
Variable $10.50/unit
Fixed $315,000
Selling and Administrative:
Variable $1.60/unit
Fixed $140,000
The amount of variable costs deducted from revenues under the variable costing approach would be:


A) $847,000
B) $831,000
C) $726,000
D) $742,000

Correct Answer:

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