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FILL IN THIS INCOME STATMENT Baxtell Company manufactures and sells a single product. The following costs were incurred during the companys first year of operations:
FILL IN THIS INCOME STATMENT
Baxtell Company manufactures and sells a single product. The following costs were incurred during the companys first year of operations:
Variable costs per unit: | |||
Manufacturing: | |||
Direct materials | $ | 22 | |
Direct labour | 7 | ||
Variable manufacturing overhead | 6 | ||
Variable selling and administrative | 9 | ||
Fixed costs per year: | |||
Fixed manufacturing overhead | 318,150 | ||
Fixed selling and administrative expense | 201,600 | ||
During the year, the company produced 35,350 units and sold 28,800 units. The selling price of the companys product is $65 per unit.
b. Prepare an income statement for the year. (Do not leave any empty spaces; input a 0 wherever it is required.) $ 1,872,000 Variable Costing Income Statement Sales Variable expenses: Variable cost of goods sold: Beginning inventory Less: Variable manufacturing costs Goods available for sale Less: Ending inventory Variable cost of goods sold 1,872,000 Fixed expenses: Fixed manufacturing overhead Fixed selling and administrative 318,150 201,600 I 519,750 1,352,250Step by Step Solution
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