Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Blossom Golf Ltd. produces and sells special golf balls for $26.00 for a pack of three. In May 2022, the company manufactured 35,100 packs
Blossom Golf Ltd. produces and sells special golf balls for $26.00 for a pack of three. In May 2022, the company manufactured 35,100 packs (its normal volume) and sold 32.700 packs. The beginning inventory on May 1, 2022, was 5,850 packs. Production information for May 2022 is as follows. Direct manufacturing labour per pack 15.00 minutes Fixed selling and administrative costs $46,800 Fixed manufacturing overhead $150,930 Direct materials costs per pack $4.00 Direct labour rate per hour $28.00 Variable manufacturing overhead per pack $5.00 Variable selling expenses per pack $4.00 Calculate the total cost per pack under both absorption and variable costing. (Round per unit calculations and final answers to 2 decimal places, eg. 15.25.) Absorption Costing Variable Costing Total cost per pack S S Prepare income statements in good form for the month ended May 31, 2022, under absorption and variable costing. (Enter loss using either a negative sign preceding the number eg-2.945 or parentheses eg. (2,945). Round per unit calculations to 2 decimal places, eg. 15.25 and final answers to O decimal places, e.g. 125.) BLOSSOMGOLF LTD. Absorption-Costing Income Statement Sales in units $ Sales in units BLOSSOMGOLF LTD. Variable-Costing Income Statement $ $ Reconcile the operating income calculated under absorption costing with the operating income calculated under variable costing Assume that April's costs were the same as those of May. (Enter loss using either a negative sign preceding the number eg -2,945 or parentheses e.g. (2,945). Round per unit calculations to 2 decimal places, eg. 15.25 and final answers to O decimal places, eg. 125.) Variable-costing net income/(loss) FMOH deferred in ending inventory FMOH released from beginning inventory $ Absorption-costing net income eTextbook and Media Question Part Score $ --/4 10
Step by Step Solution
There are 3 Steps involved in it
Step: 1
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