Reference no: EM131797423

Question: The Renaissance Man Clothing Company experienced the following costs in 2007:

There was no beginning inventory. During the year the company manufactured 67,000 units. If net income using variable and full costing was $245,000 and $205,700, respectively, how many units did the company sell in 2007?

A 61,760

B 73,000

C 72,240

D 61,000

Uma's Used Autos has fixed costs of $7,000 per month. If each car is sold for $350 more than Alma paid for it, how many cars must Uma sell in a month in order to break even?

A 20 cars

B 50 cars

C 5 cars

D 30 cars

Assume that 500,000 CDs are produced and 450,000 are sold in 2008. What is ending inventory under variable costing?

A $150,000

B $200,000

C $250,000

D $300,000

The Outdoor Adventure Company experienced the following costs in 2007:

There was no beginning inventory. During the year the company sold 172,000 units. If net income using full and variable costing was $824,000 and $789,000, respectively, how many units did the company produce in 2007?

A 173,813

B 174,800

C 177,263

D 169,200

The Captain Carl Company experienced the following costs in 2007:

During the year the company manufactured 50,000 units and sold 45,000 units. If net income for the year was $265,000 using full costing, what would net income be if the company used variable costing? Assume no beginning inventories.

A $250,000

B $265,000

C $270,000

D $450,000

Syed Company needs to reduce the selling price of its product in order to be competitive. Currently, Syed has fixed costs of $346,400 and variable costs per unit of $2.50. If Syed can sell 80,000 units, what price should it charge in order to break even?

A $7.44

B $4.33

C $6.83

D $17.05