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 P60 DM P15 DL PS Variable OH P2 Variable selling and administrative P4 Fixed OH P200,000 Fixed selling and administrative If the company produces 12,000 units and sells 13,000 units in th P70,000 second year, how much higher or lower will the variable operatin income be compared to the absorption operating income. Indicate you answer as a positive number if higher ex. 123456 or a negative numbe 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 P60 DM P15 DL PS Variable OH P2 Variable selling and administrative P4 Fixed OH P200,000 Fixed selling and administrative If the company produces 12,000 units and sells 13,000 units in th P70,000 second year, how much higher or lower will the variable operatin income be compared to the absorption operating income. Indicate you answer as a positive number if higher ex. 123456 or a negative numbe 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
Chapter2: Basic Cost Management Concepts
Section: Chapter Questions
Problem 35P: Orman Company produces neon-colored covers for tablets (e.g., iPads). For last year, Orman reported...
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Transcribed Image Text: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
P60
DM
P15
DL
PS
Variable OH
P2
Variable selling and administrative
P4
Fixed OH
P200,000
Fixed selling and administrative
P70,000
If the company produces 12,000 units and sells 13,000 units in th
second year, how much higher or lower will the variable operatin
income be compared to the absorption operating income. Indicate you
answer as a positive number if higher ex. 123456 or a negative numbe
if lower ex. (123456).
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