Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The manufacturing cost per unit of ARORA company is as follows: Direct materials: $16 Direct labor: $20 Variable manufacturing overhead: $4 Fixed manufacturing overhead
The manufacturing cost per unit of ARORA company is as follows: Direct materials: $16 Direct labor: $20 Variable manufacturing overhead: $4 Fixed manufacturing overhead cost: $700,000 Variable administrative expenses $6 per unit sold Fixed administrative expenses is= $500,000 Units produced: 25,000 units Units sold: 20,000 units Selling Price per unit: $100 Required: 1. Prepare a variable and absorption costing income statement using above information. 2. Reconcile the differences under two costing systems 2- The following information for Mary's cupcake store is given for the month of April: Sales $ 520000 - Total Fixed costs $100000 Total variable costs $280000 Unit price $160 Unit variable cost $96 Compute the following: 1. Monthly operating profit when sales total $520000 2. Break even number in units 3. Number of units sold that would produce an operating profit of $40000 4. Sales dollars required to earn an operating profit of $20000
Step by Step Solution
★★★★★
3.48 Rating (164 Votes )
There are 3 Steps involved in it
Step: 1
Given Differential 2 2 111 1 dy Find Degree of the giv...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started