1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
serg [7]
3 years ago
11

S&P Enterprises sold 10,000 units of inventory during a given period. The level of inventory of the manufactured product rem

ained unchanged. The manufacturing costs were as follows: Variable Fixed Unit manufacturing costs of the period $11.00 $7.00 Unit operating expenses of the period 3.00 2.50 Which of the following statements is true?a. Net income will be the same under both variable and absorption costing. b. Net income under variable costing will be $45,000 less than net income under absorption costing c. Net income under absorption costing will be $40,000 more than under variable costing. d. The difference in net income cannot be determined.
Business
1 answer:
nignag [31]3 years ago
8 0

Answer:

Option A Net income will be the same under both variable and absorption costing.

Explanation:

The condition here given is:

Production Units = Sales units

Now under such conditions their is no finished goods and all the fixed costs are absorbed in the units produced in the absorption costing which means all the fixed production costs are part of the cost of goods sold.

In variable costing system, the fixed costs are not absorbed in the units and deducted as period cost.

So this means no cost is left which is not deducted from the revenue and this gives us net income that is same amount when we either use variable costing or use absorption costing. But remember that this is only possible when the production units are equal to sales units.

You might be interested in
Is so sophisticated that even core functions such as engineering, research and development, manufacturing, information technolog
11111nata11111 [884]

Outsourcing is so sophisticated that even core functions such as engineering, research and development, manufacturing, information technology, and marketing can be moved outside the firm.

   The practice of employing a third party from outside a business to carry out tasks or produce commodities that were previously completed in-house by the business's own employees and personnel is known as outsourcing. Companies typically engage in outsourcing as a cost-cutting strategy.

   The outside business, often referred to as the network operator or third-party provider, makes arrangements for its own personnel or technological resources to carry out the duties or offer the services either on-site at the premises of the hiring business or at other places.

To learn more about outsourcing click here:

brainly.com/question/14202035

#SPJ4

5 0
1 year ago
Dr. Peabody recorded an $82 telephone bill that he will pay within thirty days. Which of the following statements is correct?
lana66690 [7]

Answer:

A. Telephone expense is debited $82; accounts payable is credited $82.

Explanation:

Mr. Peabody has incurred a debt of $82 on telephone expenses. His expenses have increased by $82, and his debts(liabilities) have also increased by $82.

An increase in expenses is recorded by debiting the relevant expense account. Mr. Peabody will debit the telephone expense account by $82.

Liabilities have increased by $82. An increase in liabilities is recorded by crediting the liabilities account. Mr. Peabody will complete this transaction by crediting the liabilities account by $82.

7 0
2 years ago
Other things held constant, if a bond indenture contains a call provision, the yield to maturity that would exist without such a
zloy xaker [14]

Answer:

Other things held constant, if a bond indenture contains a call provision, the yield to maturity that would exist without such a call provision will generally be <u>lower than</u> the YTM with a call provision.

Explanation:

That is the correct answer to the question asked about bond indenture.

8 0
3 years ago
Favorita candy's stock is expected to earn $2.40 per share this year. its p/e ratio is 18. what is the stock price?
MatroZZZ [7]
The formula to calculate p/e ratio is: price/earnings.

So, the price of the stock would be

p/e ratio = price/earnings

18 = price / 2.4

Price= 2.4 x 18

Price = 43.2 


3 0
3 years ago
What is a resume?<br><br><br><br><br>((this is just to reach the character requirement))
babunello [35]
Formal document that a job applicant creates
5 0
3 years ago
Other questions:
  • On April 2, Kelvin sold $40,000 of inventory items on credit with the terms 1/10, net 30. Payment on $24,000 sales was received
    13·1 answer
  • Edith Engineer travels from city to city to conduct her business. Every other year she buys a used car for about $12,000. The de
    11·2 answers
  • The following data relate to direct labor costs for the current period:
    13·1 answer
  • On January 22, Muir Corporation issued for cash 20,000 shares of no-par common stock at $30. On February 14, Muir issued at par
    14·1 answer
  • Jane ran 23/10 miles. what is this fraction as a mixed number
    5·2 answers
  • Mickey and Sam want to expand to other cities, hire employees, and raise capital for their growing business. Explain what you wo
    11·1 answer
  • GKM, Inc. is a manufacturer of furniture. At the beginning of​ February, it was estimated that each unit of Let the Light In wou
    11·1 answer
  • the liability created when supplies are bought on account is called an account payable ,true or false​
    10·1 answer
  • Seemore Company manufactures binoculars. The actual costs for 2013 and 2014 were as follows: 2013 2014 Direct materials: Plastic
    8·1 answer
  • PLEASE!!!!!!!!!!!!!!!!! I"'LL GIVE BRAINLIEST!!!!!
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!