Exhibit 6-8
Perry,Inc -Refer to Exhibit 6-8

Multiple Choice

Exhibit 6-8
Perry,Inc.produced 15,000 units during the year.Of these,12,000 were sold for $50 each.Other Perry,Inc.data are as follows:
$\begin{array}{lr}\text { Direct materials } & \$ 8.00 \text { per unit } \\\text { Direct labor } & \$ 6.00 \text { per unit } \\\text { Variable manufacturing overhead } & \$ 2.00 \text { per unit } \\\text { Variable selling and administrative costs } & \$ 1.00 \text { per unit }\\\text { Fixed manufacturing overhead}&\$75,000\\\text { Fixed selling and administrative costs}&\$50,000\end{array}$


-Refer to Exhibit 6-8.Calculate Perry's operating profit assuming the company uses absorption costing.

A) $271,000
B) $286,000
C) $396,000
D) $370,000
E) None of the answer choices is correct.