Solved

This Year, Roberts Company's Income Under Absorption Costing Was £2,000

Question 3

Multiple Choice

This year, Roberts Company's income under absorption costing was £2,000 lower than its income under variable costing. The company sold 8,000 units during the year, and its variable costs were £8 per unit, of which £2 was variable selling expense. If production cost was £10 per unit under absorption costing, then how many units did the company produce during the year


A) 7,500 units.
B) 7,000 units.
C) 9,000 units.
D) 8,500 units.

Correct Answer:

verifed

Verified

Related Questions