.A business operated at 100% of capacity during its first month, with the following results: Sales (160 units):   $160,000 Production costs (200 units):       Direct materials $100,000     Direct labor 20,000     Variable factory overhead 10,000     Fixed factory overhead 4,000 $134,000 Operating expenses:       Variable operating expenses $12,000     Fixed operating expenses 2,000 14,000 The amount of manufacturing margin that would be reported on the variable costing income statement is a.$38,000 b.$44,000 c.$56,000 d.$30,000

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3.A business operated at 100% of capacity during its first month, with the following results:

Sales (160 units):   $160,000
Production costs (200 units):    
  Direct materials $100,000  
  Direct labor 20,000  
  Variable factory overhead 10,000  
  Fixed factory overhead 4,000 $134,000
Operating expenses:    
  Variable operating expenses $12,000  
  Fixed operating expenses 2,000 14,000

The amount of manufacturing margin that would be reported on the variable costing income statement is

a.$38,000
b.$44,000
c.$56,000
d.$30,000
 

4.A business operated at 100% of capacity during its first month, with the following results:

Sales (112 units)   $560,000
Production costs (140 units):  
     Direct materials $70,000  
     Direct labor 17,500  
     Variable factory overhead 31,500  
 Fixed factory overhead 28,000 147,000
Operating expenses:  
     Variable operating expenses $6,320  
     Fixed operating expenses 4,240 10,560

The amount of contribution margin that would be reported on the variable costing income statement is

a.$454,240
b.$458,480
c.$549,440
d.$559,860

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