Assume the same facts as in the preceding problem. In addition, consider the following actual data for

Question:

Assume the same facts as in the preceding problem. In addition, consider the following actual data for 20X1:

Direct materials Direct labour Variable factory overhead Fixed factory overhead Selling and administrative

1. For 20X1, prepare income statements based on standard variable (direct) costing and standard absorption costing.
2. Explain why operating income differs between variable costing and absorption costing. Be specific.

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Introduction To Management Accounting

ISBN: 9780273737551

1st Edition

Authors: Alnoor Bhimani, Charles T. Horngren, Gary L. Sundem, William O. Stratton, Jeff Schatzberg

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Question Posted: Dec 30, 2023 03:35 AM

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Assume the same facts as in the preceding problem. In addition, consider the following actual data for

Question:

Direct materials Direct labour Variable factory overhead Fixed factory overhead Selling and administrative costs Variable Fixed Sales € 285,000 174,200 36,000 95,000 118,400 80,000 1,068,000

Step by Step Answer:

Answer 1 Income Statements for 20X1 a Standard Variable Direct Costing Particulars Amount Sales 1068...View the full answer

Introduction To Management Accounting

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