variable expenses as a percentage of net sales increase. variable expenses as a percentage of net sales decrease. Question 9. Question:( TCO C) Which of the following would not affect the break-even point? Student Answer: Variable expense per unit Number of units sold Total fixed expenses Selling price per unit Question 10. Question:( TCO D) Under variable costing, Student Answer: inventory costs will be lower than under absorption costing. inventory costs will be higher than under absorption costing. net operating income will always be lower than under absorption costing. net operating income will always be higher than under absorption costing. Question 1. Question:( TCO A) The following data( in thousands of dollars) have been taken from the accounting records of Larden Corporation for the just-completed year. Sales $ 950 Purchases of raw materials $ 170 Direct labor $ 225 Manufacturing overhead $ 220 Administrative expenses $ 180 Selling expenses $ 140 Raw materials inventory, beginning $ 90 Raw materials inventory, ending $ 80 Work-in-process inventory, beginning $ 30 Work-in-process inventory, ending $ 20 Finished goods inventory, beginning $ 100 Finished goods inventory, ending $ 70 Prepare a Schedule of Cost of Goods Manufactured statement in the text box below. Question 2. Question:( TCO B) The Florida Company manufactures a product that goes through three processing departments. Information relating to activity in the first department during June is given below. Percentage Completed