Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Can you all show me how to compute each and every part of both Requirements, please? And can you all show me the step by
Can you all show me how to compute each and every part of both Requirements, please? And can you all show me the step by step work, so I can determine what you did to calculate each part of Requirements 1 and 2, please?
E9-24 (similar to), TV Plus Corporation manufactures and sells 50-inch television sets and uses standard costing. Actual data relating to January, February, and March 2017 are as follows: (Click the icon to view the actual data.) The selling price per unit is $3,400. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 1,500 units. There are no price, efficiency, or spending variances. Any production-volume variance is written off to cost of goods sold in the month in which it occurs. The variable manufacturing costs per unit of TV Plus Corporation are as follows: (Click the icon to view the variable manufacturing cost data.) TV Plus prepared the following income statements under variable costing and absorption costing. (Click the icon to view the variable costing statement.) (Click the icon to view the absorption costing statement.) Read the requirements Data Table - X January February March 100 0 1,500 100 1,450 1,450 1,525 1,530 1,400 Unit data: Beginning inventory Production Sales Variable costs: Manufacturing cost per unit produced Operating (marketing) cost per unit sold Fixed costs: Manufacturing costs Operating (marketing) costs $ 900 $ 900 900 $ 650 $ GA 650 $ 650 525,000 $ 525,000 $ 525,000 $ $ 170,000 $ 170,000 $ 170,000 Data Table Direct material cost per unit Direct manufacturing labor cost per unit Manufacturing overhead cost per unit January February March $ 600 $ 600 $ 600 125 125 125 175 175 175 $ 900 S 900 $ 900 Variable costing income statement January 2017 $ 4,760,000 February 2017 $ 4.930,000 March 2017 $ 5,202,000 1,350,000 1,350,000 (90,000) 1,260,000 910,000 Revenues Variable costs: Beginning inventory Variable manufacturing costs Cost of goods available for sale Less: Ending inventory Variable cost of goods sold Variable operating costs Total variable costs Contribution margin Fixed costs Fixed manufacturing costs Fixed operating costs Total fixed costs Operating income $ 90,000 1,305,000 1,395,000 (90,000) 1,305,000 942,500 2,170,000 2,590,000 $ 90,000 1,372,500 1.462.500 (85,500) 1,377.000 994,500 2,247.500 2,682,500 2.371.500 2,830,500 525,000 170,000 525.000 170,000 695.000 $ 1,895,000 525,000 170,000 695.000 $ 2.135,500 695.000 $ 1,987,500 i Absorption costing income statement January 2017 $ 4760,000 February 2017 $ 4.930,000 March 2017 $ 5,202,000 $ 0 1,350,000 525,000 125.000 1,372,500 533 750 1.875,000 (125.000) Revenues Cost of goods sold Beginning inventory Variable manufacturing costs Allocated fixed manufacturing costs Cost of goods available for sale Less: Ending inventory Adj. for production-volume variance Cost of goods sold Gross margin Operating costs Variable operating costs Fixed operating costs Total operating costs Operating income $ 125,000 1,305,000 507,500 1,937,500 (125,000) 17.500 1.750,000 2,031 250 (118,750) (8.750) F 0 1,830,000 1.903,750 3,010,000 3.100.000 3.298,250 910,000 170,000 942.500 170,000 994,500 170,000 1,112,500 1,080,000 $ 1.930 000 1,164,500 $ 2, 133,750 S 1.987 500 - i Requirements 1. Prepare income statements for TV Plus in January, February, and March 2017 under throughput costing. 2. Contrast the results in requirement 1 with the operating income results under variable costing and absorption costing. 3. Give one motivation for TV Plus to adopt throughput costing. Requirement 1. Prepare income statements for TV Plus in January, February, and March 2017 under throughput costing Begin by completing the top portion of the statement, then the bottom portion (Enter a "O" for any zero balance accounts.)
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