Exercise 19-10 (Algo) Absorption costing income statement LO P2 Hayek Bikes prepares the income statement under variable costing for its managerial reports, and it prepares the income statement under absorption costing for external reporting. For its first month of operations, 400 bikes were produced and 240 were sold. Income statement information under variable costing follows. Sales (240 * $1,725) Variable cost of goods sold (240 x $625) Variable selling and administrative expenses (240 x $55) Contribution margin Fixed overhead Fixed selling and administrative expenses Income $ 414,000 150,000 13,200 250,800 60,000 85,000 $ 105,800 Prepare the company's income statement under absorption costing. HAYEK BIKES Income Statement (Absorption Costing) Sales Cost of goods sold Contribution margin Selling and administrative expenses Income $ 0 0 Exercise 19-14 (Algo) Absorption costing and overproduction LO CI Jax Incorporated reports the following data for its only product. The company had no beginning finished goods inventory and it uses absorption costing. $ 57,30 per $ 10.30 per per Sales price unit Direct materials unit Direct labor $ 7.80 unit Variable overhead unit Fixed overhead $ per 1,160, 700 year $ 12.30 per 1. Compute gross profit assuming (a) 73,000 units are produced and 73,000 units are sold and (b) 106,000 units are produced and 73,000 units are sold. 2. By how much would the company's gross profit increase or decrease from producing 33,000 more units than it sells? Complete this question by entering your answers in the tabs below. Required Required 1 2 Compute gross profit assuming (a) 73,000 units are produced and 73,000 units are sold and (b) 106,000 units are produced and 73,000 units are sold. (a) 73,000 Units (b) 106,000 Produced and Units Produced 73,000 Units and 73,000 Sold Units Sold Gross profit (Required 1 Required 2 > Exercise 19-14 (Algo) Absorption costing and overproduction LO C1 Jax Incorporated reports the following data for its only product. The company had no beginning finished goods inventory and it uses absorption costing. Sales price $ 57.30 per unit Direct materials $ 10.30 per unit $ 7.80 per Direct labor unit Variable overhead unit Fixed overhead $ per 1,160, 700 year $ 12.30 per 1. Compute gross profit assuming (a) 73,000 units are produced and 73,000 units are sold and (b) 106,000 units are produced and 73,000 units are sold. 2. By how much would the company's gross profit increase or decrease from producing 33,000 more units than it sells? Complete this question by entering your answers in the tabs below. Required Required 1 2 By how much would the company's gross profit increase or decrease from producing 33,000 more units than it sells? Gross profit by