During 2030, Basler Manufacturing produced 60,000 units and sold 55,000 for $10 per unit. Variable manufacturing costs were $4 per unit. Annual fixed manufacturing overhead was $120,000 ($2 per unit). Variable selling and administrative costs were $1 per unit sold, and fixed selling and administrative costs were $30,000.

Prepare a variable costing income statement.

Variable Costing Income Statement

Balser Manufacturing Income Statement (Variable Costing)

sales
variable cost of goods sold
variable selling and administrative expenses
contribution margin
fixed manufacturing overhead
fixed selling and administrative expenses
net income / (loss)