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Donellan Company Produces a Special Gear Used in Automatic Transmissions

Question 62

Multiple Choice

Donellan Company produces a special gear used in automatic transmissions. Each gear sells for $30, and the company sells approximately 500,000 gears each year. Unit cost data for the year follows: Donellan Company produces a special gear used in automatic transmissions. Each gear sells for $30, and the company sells approximately 500,000 gears each year. Unit cost data for the year follows: The unit cost of gears for variable costing inventory purposes is: A) $14. B) $17. C) $20. D) $24. The unit cost of gears for variable costing inventory purposes is:


A) $14.
B) $17.
C) $20.
D) $24.

Correct Answer:

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