Vacationnatalaga Corporation produces a single product. Data concerning the company's first year of operations appear below: Units produced 10,000 Units sold 9,000 Selling price per unit Р60 DM P15 DL P5 Variable OH P2 Variable selling and administrative P4 Fixed OH EREXAM P200,000 Fixed selling and administrative P70,000 If the company produces 12,000 units and sells 13,000 units in the second year, how much higher or lower will the variable operating income be compared to the absorption operating income. Indicate your answer as a positive number if higher ex. 123456 or a negative number if lower ex. (123456).
Vacationnatalaga Corporation produces a single product. Data concerning the company's first year of operations appear below: Units produced 10,000 Units sold 9,000 Selling price per unit Р60 DM P15 DL P5 Variable OH P2 Variable selling and administrative P4 Fixed OH EREXAM P200,000 Fixed selling and administrative P70,000 If the company produces 12,000 units and sells 13,000 units in the second year, how much higher or lower will the variable operating income be compared to the absorption operating income. Indicate your answer as a positive number if higher ex. 123456 or a negative number if lower ex. (123456).
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 2CE
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Vacationnatalaga Corporation produces a single product. Data concerning the company's first year of operations appear below: Units produced 10,000 Units sold 9,000 Selling price per unit Р60 DM P15 DL P5 Variable OH P2 Variable selling and administrative P4 Fixed OH EREXAM P200,000 Fixed selling and administrative P70,000 If the company produces 12,000 units and sells 13,000 units in the second year, how much higher or lower will the variable operating income be compared to the absorption operating income. Indicate your answer as a positive number if higher ex. 123456 or a negative number if lower ex. (123456).
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