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Question
Pact Company had net income of $972,000 based on variable costing. Beginning and ending inventories were 7,800 units and 5,200 units, respectively. Assume the fixed overhead per unit was $3.61 for both the beginning and ending inventory. What is net income under absorption costing?A. $962,614
B. $1,018,923
C. $925,077
D. $969,400
E. $981,379
Answer
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