Production costs (20,900 units): Direct materials $176,800 Direct labor 235,700 Variable factory overhead 240,300 Fixed factory overhead 102,900 $755,700 Operating expenses: Variable operating expenses $132,000 Fixed operating expenses 43,400 175,400 If 1,900 units remain unsold at the end of the month and sales total $1,158,000 for the month, what would be the amount of income from operations reported on the absorption costing income statement

income from operations is $295,604

Explanation:

Absorption Costing included both the Variable and Fixed Manufacturing overheads in product cost.

All Non-Manufacturing Costs are treated as period costs

Total Manufacturing Cost = 176,800 + 235,700 + 240,300 + 102,900

                                          = 755,700

Product Cost = Total Manufacturing Costs / Total Units of Production

                      = $755,700/ 20,900 units

                      = $ 36.16

absorption costing income statement

Sales                                                                                    $1,158,000

Less Cost of Goods Sold

Opening Stock                                                        0

Add Cost of Goods Manufactured                 $755,700

Less Closing Stock ($ 36.16×1,900 units)       ($68,704)   ($686,996)

Gross Profit                                                                            $471,004

Less Expenses

Operating expenses: Variable operating expenses         ($132,000)

Fixed operating expenses                                                  ($43,400)

Net Income                                                                           $295,604

Therefore, income from operations is $295,604

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'

c is the correct answer.