Absorption Costing Income Statement

On October $31,$ the end of the first month of operations, Maryville Equipment Company prepared the following income statement, based on the variable costing concept:

Maryville Equipment Company

Variable Costing Income Statement

For the Month Ended October $31$

Line Item Description Amount Amount

Sales $(11,800$ units$)$ $$519,200$

Variable cost of goods sold:

Variable cost of goods manufactured $$244,800$

Inventory, October $31(1,800$ units$)(32,400)$

Total variable cost of goods sold $(212,400)$

Manufacturing margin $$306,800$

Variable selling and administrative expenses $(129,800)$

Contribution margin $$177,000$

Fixed costs:

Fixed manufacturing costs $$54,400$

Fixed selling and administrative expenses $35,400$

Total fixed costs $(89,800)$

Operating income $$87,200$

Prepare an income statement under absorption costing. Round all final answers to whole dollars.

Maryville Equipment Company

Absorption Costing Income Statement

For the Month Ended October $31$

Line Item Description Amount Amount

$$-$ Select $-$

Cost of goods sold:

$$-$ Select $-$

$-$ Select $-$

$-$ Select $-$

$$-$ Select $-$

$-$ Select $-$

$$-$ Select $-$