The following questions are based on Poughkeepsie Pickle Corporation. The companys gourmet pickles are sold to restaurants

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The following questions are based on Poughkeepsie Pickle Corporation. The company’s gourmet pickles are sold to restaurants for 12perunit(onejar).Ofthe100,000unitsproduced,80,000weresoldduringyear1;allendinginventorywasinfinished−goodsinventory.Thecompanyhadnoinventoryatthebeginningoftheyear.Directmaterial(unit−levelorvariablecost)....000.0.0...eee12????????????????????????????(????????????????????????).????????????????100,000????????????????????????????????????????????????????,80,000????????????????????????????????????????????????????????????????????????1;????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????.????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????.????????????????????????????????????????????????????????(????????????????????????????????????????????????????????????????????????????????????????????)....000.0.0...???????????? 220,000 Direewlabon (UnitcleveltonVanlablecosiine & Ste disega0ees. eseos ooe 170,000 Manufacturing overhead (unit-level or variable cost),...............05. 90,000 Manufacturing overhead (facility-level or fixed cost)................... 240,000 Selling and administrative (unit-level or variable cost).................. 80,000 Selling and administrative (facility-level or fixed cost).................. 128,000 Required

a. In presenting inventory on the balance sheet at December 31, what is the unit cost under absorption costing?

b. In presenting inventory on a variable-costing balance sheet, what is the unit cost?

c. What is the operating profit using variable costing?

d. What is the operating profit using absorption costing?

e. What is the cost of the ending inventory using absorption costing?

f. | What is the cost of the ending inventory under variable costing

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Related Book For  book-img-for-question

Cost Management Strategies For Business Decisions

ISBN: 12

4th Edition

Authors: Ronald Hilton, Michael Maher, Frank Selto

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