On November 30, the end of the first month of operations, Weatherford Company prepared the following income statement, based on the absorption costing concept:

If the fixed manufacturing costs were $960,000 and the fixed selling and administrative expenses were $280,000, prepare an income statement according to the variable costing concept.

Transcribed Image Text:

Weatherford Company Absorption Costing Income Statement For the Month Ended November 30 $5,200,000 Cost of goods sold $4,560,000 (608,000) 3,952,000 1,248,000 400,000 $ 848,000