Question: Nielson Corp. sells its product for $6,600 per unit. Variable costs per unit are: manufacturing, $3,600, and selling and administrative, $75. Fixed costs are: $18,000
Nielson Corp. sells its product for $6,600 per unit. Variable costs per unit are: manufacturing, $3,600, and selling and administrative, $75. Fixed costs are: $18,000 manufacturing overhead, and $24,000 selling and administrative. There was no beginning inventory at 1/1/18. Production was 20 units per year in 20182020. Sales were 20 units in 2018, 16 units in 2019, and 24 units in 2020. Income under variable costing for 2020 is A. $19,800. B. $23,400. C. $28,200. D. $24,600.
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