Sales per unit P15.00 Variable production cost 8.00 Annual fixed production cost 35,000.00 Variable selling expense (unit) 3.00 Annual fixed selling expense 15,000.00 Produced 12,500 units during the period No inventory at January 1 (beg.) Sold 10,000 units 21. The ending inventory under direct costing is a. P25,000 b. P27,500 c. P20,000 d. P32,500 22. Ending inventory under absorption costing is a. P32,500 b. P20,000 c. P25,000 d. P27,000
Sales per unit P15.00 Variable production cost 8.00 Annual fixed production cost 35,000.00 Variable selling expense (unit) 3.00 Annual fixed selling expense 15,000.00 Produced 12,500 units during the period No inventory at January 1 (beg.) Sold 10,000 units 21. The ending inventory under direct costing is a. P25,000 b. P27,500 c. P20,000 d. P32,500 22. Ending inventory under absorption costing is a. P32,500 b. P20,000 c. P25,000 d. P27,000
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter7: Variable Costing For Management
analysis
Section: Chapter Questions
Problem 3BE: Variable costingsales exceed production The beginning inventory is 52,800 units. All of the units...
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Sales per unit P15.00
Variable production cost 8.00
Annual fixed production cost 35,000.00
Variable selling expense (unit) 3.00
Annual fixed selling expense 15,000.00
Produced 12,500 units during the period
No inventory at January 1 (beg.)
Sold 10,000 units
21. The ending inventory under direct costing is
a. P25,000
b. P27,500
c. P20,000
d. P32,500
22. Ending inventory under absorption costing is
a. P32,500
b. P20,000
c. P25,000
d. P27,000
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