#4 on my hw. There are FIVE parts to this question.

Chataqua Can Company manufactures metal cans used in the food processing industry. A case of cans sells for $35. The variable costs of production for one case of cans are as follows: Direct material Direct labor Variable manufacturing overhead Total variable manufacturing cost per case $ 9.00 4.00 8.50 $21.50 Variable selling and administrative costs amount to $0.60 per case. Budgeted fixed manufacturing overhead is $558,000 per year, and fixed selling and administrative cost is $47,000 per year. The following data pertain to the company's first three years of operation. Planned production (in units) Finished-goods inventory (in units), January 1 Actual production (in units) Sales (in units) Finished-goodu inventory (in units), December 31 Year 1 93,000 0 93,000 93,000 0 Year 2 93,000 0 93,000 63,500 29,500 Year 3 93,000 29,500 93,000 107,750 14,750 Actual costs were the same as the budgeted costs. Required: 1. Prepare operating income statements for Chataqua Can Company for its first three years of operations using: a. Absorption costing b. Variable costing 2. Reconcile Chatoqua Can Company's operating Income reported under absorption and variable costing for each of its first three years of operation. Use the shortcut method 3. Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expected, and the company ends the year with no inventory on hand. a. What will be the difference between absorption-costing income and variable-costing Income in year 4? b. What will be the relationship between total operating income for the four-year period as reported under absorption and variable costing? Complete this question by entering your answers in the tabs below. Req 1A Reg 1B Reg 2 Req 3A Req 38 Prepare operating income statements for Chataqua Can Company for its first three years of operations using absorption costing Actual costs were the same as the budgeted costs. Required: 1. Prepare operating income statements for Chataqua Can Company for its first three years of operations using: a. Absorption costing. b. Variable costing 2. Reconcile Chataqua Can Company's operating income reported under absorption and variable costing for each of its first three years of operation. Use the shortcut method. 3. Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expected, and the company ends the year with no inventory on hand. a. What will be the difference between absorption-costing income and variable-costing income in year 4? b. What will be the relationship between total operating income for the four-year period as reported under absorption and varlable costing? Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2 Reg Reg 38 Prepare operating income statements for Chataqua Can Company for its first three years of operations using absorption costing Year 1 Year 2 Year 3 Selling and Administrative Expenses Ron JA Reg 18 > Actual costs were the same as the budgeted costs. Required: 1. Prepare operating income statements for Chataqua Can Company for its first three years of operations using: a. Absorption costing, b. Variable costing 2. Reconcile Chataqua Can Company's operating Income reported under absorption and variable costing for each of its first three years of operation. Use the shortcut method. 3. Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expecte and the company ends the year with no inventory on hand. a. What will be the difference between absorption-costing income and variable-costing income in year 4? b. What will be the relationship between total operating income for the four-year period as reported under absorption and variable costing? Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2 Reg 3A Reg 36 Prepare operating Income statements for Chataqua Can Company for its first three years of operations using variable costing. Year 1 Year 2 Year 3 Variable expenses Fixed expenses Actual costs were the same as the budgeted costs. Required: 1. Prepare operating income statements for Chataqua Can Company for its first three years of operations using a. Absorption costing b. Variable costing. 2. Reconcile Chataqua Can Company's operating income reported under absorption and variable costing for each of its first three years of operation. Use the shortcut method. 3. Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expected. and the company ends the year with no inventory on hand. a. What will be the difference between absorption costing income and variable-costing income in year 4? b. What will be the relationship between total operating income for the four-year period as reported under absorption and variable costing? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Reg 2 Req Reg 38 Reconcile Chataqua Can Company's operating income reported under absorption and variable costing for each of its first three years of operation. Use the shortcut method. Year Change in inventory (in units) Predetermined fixed overhead rate Difference in fixed overhead expensed under absorption and variable costing 1 2 3 Actual costs were the same as the budgeted costs. Required: 1. Prepare operating income statements for Chataqua Can Company for its first three years of operations using: a. Absorption costing. b. Variable costing 2. Reconcile Chataqua Can Company's operating income reported under absorption and variable costing for each of its first three years of operation. Use the shortcut method. 3. Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expecte and the company ends the year with no inventory on hand. a. What will be the difference between absorption-costing income and variable-costing Income in year 4? b. What will be the relationship between total operating income for the four-year period as reported under absorption and variable costing? Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2 Reg 3A Req 30 Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expected, and the company ends the year with no inventory on hand. What will be the difference between absorption-costing Income and variable-costing income in year 4? Difference in reported income Actual costs were the same as the budgeted costs. Required: 1. Prepare operating income statements for Chataqua Can Company for its first three years of operations using: a. Absorption costing. b. Variable costing. 2. Reconcile Chataqua Can Company's operating income reported under absorption and variable costing for each of its first three years of operation. Use the shortcut method. 3. Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expected and the company ends the year with no inventory on hand. a. What will be the difference between absorption-costing income and variable-costing Income in year 4? b. What will be the relationship between total operating income for the four-year period as reported under absorption and variable costing? Complete this question by entering your answers in the tabs below. Req 1A Reg 1B Reg 2 Reg 3A Reg 38 OOO Suppose that during Chataqua's fourth year of operation actual production equals planned production, actual costs are as expected, and the company ends the year with no inventory on hand. What will be the relationship between total operating income for the four-year period as reported under absorption and variable costing? Total operating income will be higher under variable costing. Total operating income will be higher under absorption costing Total operating income will be same under absorption and variable costing. ( Req 3A RGB