Throughput costing (continuation of 9-18). The unit variable manufacturing costs of BigScreen Corporation are as follows:

January February March Direct materials $ 680 $ 680 $ 680 Direct manufacturing labour 100 100 100 Manufacturing overhead 300 300 300

$1,080 $1,080 $1,080 Required 1. Present income statements for BigScreen in January, February, and March of 2007 under throughput costing.

2. Contrast the results in requirement 1 with those in requirement 1 of Exercise 9-18.

3. Give one motivation for BigScreen to adopt throughput costing.