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EXERCISE 1-11 Cost Behavior; Contribution Format Income Statement LO1-4, LO1-6 Harris Company manufactures and sells a single product. A partially completed schedule of the
EXERCISE 1-11 Cost Behavior; Contribution Format Income Statement LO1-4, LO1-6 Harris Company manufactures and sells a single product. A partially completed schedule of the company's total costs and costs per unit over the relevant range of 30,000 to 50,000 units is given below: Units Produced and Sold 30,000 40,000 50,000 Total costs: Variable cost $180,000 ? ? Fixed cost. 300,000 ? ? Total cost $480,000 ? ? Costs per unit: Variable cost ? ? ? Fixed cost.. ? ? Total cost per unit ? ? ? Required: 1. Complete the above schedule of the company's total costs and costs per unit. 2. Assume that the company produces and sells 45,000 units during the year at a selling price of $16 per unit. Prepare a contribution format income statement for the year.
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