Franz began business at the start of this year and had the following costs: variable manufacturing cost per unit, $9; fixed manufacturing costs, $60,000; variable selling and administrative costs per unit, $2; and fixed selling and administrative costs, $220,000. The company sells its units for $45 each. There were no variances. Planned and actual production was 10,000 units. Sales were 8,500 units. The net income/(loss) under absorption costing is:
A)$(7,500).
B)$9,000.
C)$15,000.
D)$18,000.
E)$35,000.

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The Answer of Franz began business at the start of this year and had the following costs: variable manufacturing cost per unit, $9; fixed manufacturing costs, $60,000; variable selling and administrative costs per unit, $2; and fixed selling and administrative costs, $220,000. The company sells its units for $45 each. There were no variances. Planned and actual production was 10,000 units. Sales were 8,500 units. The net income/(loss) under absorption costing is:
A)$(7,500).
B)$9,000.
C)$15,000.
D)$18,000.
E)$35,000.

Franz Began Business at the Start of This Year and Had