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eBook Show Me How Question Content Area Variable Costing Income Statement On April 30, the end of the first month of operations, Joplin Company prepared
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Variable Costing Income Statement
On April 30, the end of the first month of operations, Joplin Company prepared the following income statement, based on the absorption costing concept:
Joplin Company Absorption Costing Income Statement For the Month Ended April 30 | ||||
Sales (2,900 units) | $43,500 | |||
Cost of goods sold: | ||||
Cost of goods manufactured (3,400 units) | $37,400 | |||
Inventory, April 30 (500 units) | (5,500) | |||
Total cost of goods sold | (31,900) | |||
Gross profit | $11,600 | |||
Selling and administrative expenses | (6,940) | |||
Operating income | $4,660 |
If the fixed manufacturing costs were $8,228 and the fixed selling and administrative expenses were $3,400, prepare an income statement according to the variable costing concept. Round all final answers to whole dollars.
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