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By how much does income increase

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Q1. Prepare an income statement using absorption costing based on production of 21,750 tons and sales of 17,400 tons. Can the company report a positive income by increasing production to 21,750 tons and storing the 4,350 tons of excess production in inventory?

2. By how much does income increase by when producing 21,750 tons and storing 4,350 tons in inventory compared to only producing 17,400 tons?

Reference no: EM133125890

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