Question: 4 - 2: Z E Toys started 2017 with no inventories . During the year , their Expected and actual production was 30, 000 units

 4 - 2: Z E Toys started 2017 with no inventories

4 - 2: Z E Toys started 2017 with no inventories . During the year , their Expected and actual production was 30, 000 units , of which they sold 24, 000 units at $50 each . Cost data for the year is as follows :" Manufacturing costs incurred : Variable $525,000 Fixed $372, 000 Marketing costs incurred : Variable $14 4, 8:010 FIXEd $ 77, 400 Calculate ZB Toys " Operating income under (a; variable casting , and Ibj absorption costing . Explain why operating income differs under the two approaches

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