Faxon Company, which has only one product, has provided the following data concerning its most recent month of operations: selling price $137

units in beg. inventory 0

units produced 3,000

units sold 2900

units in beg. inv. 100

direct material 40

variable cost per unit 53

var. manufacturing OH 6

variable selling and admin 9

fixed

fixed manuf, OH $69,000

Fixed selling and admin 3,800

What is the product cost per unit using absorption costing? Using variable costing?

What is the value of the ending inventory using absorption costing? Using variable costing?

Prepare an income statement for the month using the absorption costing method (traditional income statement).

Prepare an income statement for the month using the variable costing method and the contribution format income statement.

Reconcile the variable costing and absorption costing net operating incomes for the month.