In Sonic Corporation’s income statement, they report gross profit of P50,000 at standard and the following variances: Materials price                P   420    F Materials quantity                  600    F Labor price                            420    U Labor quantity                    1,000    F Overhead                              900    F                Sonic would report actual gross profit of Group of answer choices P46,660. P47,500. P52,500. P53,340

Principles of Accounting Volume 2
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Chapter8: Standard Costs And Variances
Section: Chapter Questions
Problem 9EB: Eagle Inc. uses a standard cost system. During the most recent period, the company manufactured...
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In Sonic Corporation’s income statement, they report gross profit of P50,000 at standard and the following variances:

Materials price                P   420    F

Materials quantity                  600    F

Labor price                            420    U

Labor quantity                    1,000    F

Overhead                              900    F

               Sonic would report actual gross profit of

Group of answer choices

  1. P46,660.
  2. P47,500.
  3. P52,500.
  4. P53,340

 

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