15 Question 3 Absorbo Company makes and sells computer stands for the home office market. The following information is available regarding the company's operations, sales, and costs. 2008 (Actual) 2009 (Expected) 54,000 units $ 13,500,000 54,000 units $13,500,000 60,000 units 50,000 units Sales Quantity Revenue Production Quantity Costs Cost of goods manufactured Fixed expenses Selling and administrative Net income (absorption costing) Fixed manufacturing costs deferred in inventory Fixed manufacturing costs released from inventory $ 11,800,000 $ 10,250,000 $ 300,000 ? ? 0 $ $ $ $ 300,000 560,000 100,000 250,000 $ Note: All unit variable costs were assumed in 2009 to remain at their 2008 levels. In addition, fixed manufacturing costs were also assumed to bo the same in 2009 as in 2008. Required Calculate the variable costing net income for 2009 by adjusting the absorption costing net income. 3 a. 6 b. Determine the following: i) Fixed manufacturing cost per unit in 2009 ii) Total fixed manufacturing costs for 2009 iii) Contribution margin for 2009 6 c. Prepare a variable costing income statement for 2009 showing the variable selling, variable manufacturing, and fixed selling costs. 15 Question 3 Aberto Company makes and sells computer stands for the home office market. The following information is available regarding the company's operations, sales, and costs 2008 (Actual) 2009 (spected) Salas Quantity 54,000 units 54,000 units Reverne $13,500,000 $ 13,500,000 Production Quantity 60,000 units 50,000 Com Cot of goods manufactured $ 11,800,000 $ 10,250,000 Yhted expS Selling and listrative $ 300,000 $ 900,000 Net Income (abruption 2 $ 500,000 Pled manufacturing costs deferred in inventory 2 $ 100,000 Fixed matsacturing costs released front ventory s 0 $ 250,000 Note: Alu wierd 5000 loathe 2009 when and analecking as we also di both are in 2019 20 a 6 Required a. Calculate the variable costing net income for 2009 by adjusting the absorption costing net income. bebermine the following: i) Fixed manufacturing cooper in 2009 ii) Telefed manufacturing costs for 2009 IL) Contribution margin for 2009 c. Prepare a variable costing income statement for 2009 showing the variable sulling variable menufotering, and the selling coets, 6