Western Corporation Western Corporation has the following standard costs associated with the manufacture...

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Accounting

Western Corporation

Western Corporation has the following standard costs associated with the manufacture and sale of Product 361.

Direct Material $2.00 per unit
Direct Labor $2.00 per unit
Variable Manufacturing Overhead $1.00 per unit
Fixed Manufacturing Overhead $200,000
Standard Capacity 50,000 units per year
Variable Selling Expenses $1.00 per unit
Fixed Selling, General and Administrative Expenses $75,000 per year

During its for year of operations, Western manufactured 52,000 units and sold 49,000 units. The selling price per unit was $30.

Under variable costing, what is net income before income taxes?

a.

$791,000

b.

$815,000

c.

$901,000

d.

$913,000

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