Question: Hi, need help checking the answer to this 2 exercises. #1(A) and #2(C). . Brown Company has no beginning and ending inventories, and reports the

Hi, need help checking the answer to this 2 exercises. #1(A) and #2(C).

. Brown Company has no beginning and ending inventories, and reports the following data about its only product:

Direct materials used $630,000

Direct labor $280,000

Fixed indirect manufacturing $200,000

Fixed selling and administrative $75,000

Variable indirect manufacturing $125,000

Variable selling and administrative $80,000

Selling price(per unit) $100

Units produced and sold 25,000

Gomez Company uses the contribution approach to prepare the income statement. What is the operating income?

A) $1,110,000

B) $1,390,000

C) $1,590,000

D) $1,750,000

Ahmad Company has no beginning and ending inventories, and reports the following data about its only product:

Direct materials used $300,000

Direct labor $75,000

Fixed indirect manufacturing $250,000

Fixed selling and administrative $140,000

Variable indirect manufacturing $125,000

Variable selling and administrative $150,000

Selling price(per unit) $200

Units produced and sold 10,000

Ahmad Company uses the contribution approach to prepare the income statement. What is the contribution margin?

A) $750,000

B) $1,000,000

C) $1,350,000

D) $1,625,000

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