A company produces a single product. Variable production costs are P12 per unit and variable selling and administrative expenses are P3 per unit. Fixed manufacturing overhead totals P36,000 and fixed selling and administration expenses total P40,000. Assuming a beginning inventory of zero, production of 4,000 units and sales of 3,600 units, the peso value of the ending inventory under variable costing would be a. P4,800       b. P8,400       c. P6,000       d. P3,600

Q: 5. By producing 4,000 units and selling 3,600 units of its only product, RNA company incurred the…

A: Solution: Fixed factory overhead per unit = 36000/ 4000 = 9 per unit Unit product cost = 12 + 9 = 21…

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A: Answer:   Option A.

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A:

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