F1 A B 1 Exercise 8-26 2 fx C D E F G H Name: Enter the appropriate amounts or formulas in the shaded cells. 3 An asterisk (") will appear in the column to the right of an incorrect amount. 4 5 61. Unit direct materials cost 7 Unit direct labor cost 8 Unit variable overhead cost 9 10 Unit fixed overhead cost Absorption cost per unit. 11 12 13 14 2 Unit direct materials cost 15 Unit direct labor cost 16 Unit variable overhead cost 17 Variable cost per unit 18 19 20 3. Ending inventory. 21 Beginning inventory (units) 22 Plus: Units produced 23 Less Units sold 24 Ending inventory (units) 25 26 4 and 5. Unit Cost X Units = Ending Inventory 27 Absorption-costing ending inventory 11 12 13 14 2. Unit direct materials cost 15 Unit direct labor cost 16 Unit variable overhead cost 17 Variable cost per unit 18 19 20 3. Ending inventory: 21 Beginning inventory (units) 22 Plus: Units produced 23 Less: Units sold 24 Ending inventory (units) 25 26 4 and 5. Unit Cost X Units Ending Inventory 27 Absorption-costing ending inventory 28 29 Variable-costing ending inventory 30 31 32 Exercise 8-26 Inventory Valuation under Absorption and Variable Costing with Decrease in Ending Inventory The following information pertains to Chacon Inc. for last year: Beginning inventory in units Units produced Units sold Costs per unit: Direct materials 5,000 20,000 23,700 $8.00 $4.00 Variable overhead $1.50 Fixed overhead $4.15 Variable selling expenses $3.00 Fixed selling and administrative expenses $24.300. Direct labor OBJECTIVE X Required: 2. Calculate the cost of one unit of product under absorption costing Calculate the cost of one unit of product under variable costing 3. How many units are in ending inventory? 4. Calculate the cost of ending inventory under absorption costing 5. Calculate the cost of ending inventory under vanable costing. 1 32 36 428 Continued