Compute the net income under absorption costing

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Advanced Company reports the following information for the current year. All beginning inventory amounts equaled $0 this year. Units produced this year 30,000 units Units sold this year 18,000 units Direct materials $14 per unit Direct labor $16 per unit Variable overhead $90,000 in total Fixed overhead $150,000 in total Given Advanced Company's data, and the knowledge that the product is sold for $61 per unit and operating expenses are $250,000, compute the net income under absorption costing. $60,000 $104,000 $138,600 $164,000 $254,000

Reference no: EM131223525

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