eBook Show Me How Calculator Estimated Income Statements, using Absorption and Variable Costing Prior to the first month of operations ending October 31, Marshall Inc. estimated the following operating results: Sales (40,000 x $90) $3,600,000 Manufacturing costs (40,000 units): Direct materials 1,440,000 Direct labor 480,000 Variable factory overhead 240,000 Fixed factory overhead 120,000 Fixed selling and administrative expenses 75,000 Variable selling and administrative expenses 200,000 The company is evaluating a proposal to manufacture 50,000 units instead of 40,000 units, thus creating an ending inventory of 10,000 units. Manufacturing the additional units will not change sales, unit variable factory overhead costs, total fixed factory overhead cost, or total selling and administrative expenses. a. 1. Prepare an estimated Income statement, comparing operating results if 40,000 and 50,000 units are manufactured in the absorption costing format. If an amount box does not require an entry leave it blank. Marshall Inc. Absorption Costing Income Statement For the Month Ending October 31 40,000 Units Manufactured 50,000 Units Manufactured Sales Cost of goods sold: Cost of goods manufacture Previous Next) Check My Work Save and Et Submit Assignment for Grading All work saved eBook Show Me How Calculator Marshall in Absorption Costing Income Statement For the Month Ending October 31 40,000 Units Manufactured Sales Cost of goods sold: Cost of goods manufactured 50,000 Units Manufactured Inventory, October 31 Total cost of goods sold Gross profit Selling and administrative expenses Operating income Feedback a. 2. Prepare an estimated Income statement, comparing operating results if 40,000 and 50,000 units are manufactured in the variable casting format. Yan amount box does not require an entry leave it blank Marshall Inc. Variable Costing Income Statement For the Month Ending October 31 40,000 Units Manufactured 50,000 Units Manufactured Sales Variable cost of goods sold: Check My Work Band FRES Submit Assignment for Grading All work saved. eBook Show Me How Calculator does not require an entry leave it blank. Marshall Inc. Variable Costing Income Statement For the Month Ending October 31 40,000 Units Manufactured 50,000 Units Manufactured Sales Variable cost of goods sold: Variable cost of goods manufactured: Inventory, October 31 Total variable cost of goods sold Manufacturing margin Variable selling and administrative expenses Contribution margin Fixed costs: Fixed factory overhead Fixed selling and administrative expenses Total foed costs Operating income Previous Save and Exe Summer Check My Work All work saved