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23-04-2024
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When opening inventories were 8,500 litres and closing inventories 6,750 litres, a firm had a profit of $62,100 using marginal costing. Assuming that the fixed overhead absorption rate was $3 per litre, what would be the profit using absorption costing?
A. $41,850
B. $56,850
C. $67,350
D. $82,350

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