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How many units did the company produce during the year

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Reference no: EM132462761

Problem - During the last year, Ruth Company had profit under absorption costing that was P5,500 lower than its income under variable costing. The company sold 9,000 units during the year, and its variable cost were P10 per unit, of which P6 was variable selling expense. If fixed production cost is P5 per unit under absorption costing every year, then how many units did the company produce during the year?

a. 7,625 units

b. 8,450 units

c. 10,100 units

d. 7,900 units

Reference no: EM132462761

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