The Pacific Company manufactures a single product.  its cost structure, which has remained constant for the last 3 years, is as follows: Variable cost per unit       Production   $43       Selling and Administrative   $15 Fixed Costs in Total      Production $145,000      Selling and Administrative $95,000 5,000 units were produced and 4,800 units were sold during 2019. There were no beginning inventories. Which of the following would best describe the relationship between the carrying value of the finished goods inventory at the end of 2019 under variable costing as opposed to under absorption costing?单项选择题

A

$5,800 more than under absorption costing.

B

$5,800 less than under absorption costing.

C

$8,800 more than under absorption costing

D

none of the others is correct

E

$8,800 less than under absorption costing.

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类似问题

Under absorption costing, a unit of product includes which costs?

The Pacific Company manufactures a single product. The following data relate to the year just completed: Variable cost per unit       Production   $43       Selling and Administrative   $15 Fixed Costs in Total      Production $145,000      Selling and Administrative $95,000 During the year, 5,000 units were produced and 4,800 units were sold. There were no beginning inventories. What was the unit product cost for the year under absorption costing?

What was the unit product cost for the year under absorption costing?  Please do not use any special characters such as $, spaces, commas or brackets in your answer - only input the number.

Net operating income is higher under absorption costing.

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