HAN DAN KU > YO YO CINT CHE SAW YOUR wome XYZ Company manufactures and sell a single product Cost data for the product is listed follow 100 510 18 Product Cost Data Made II Diremati Direct labor Variable factory whead Variable selling and admistrative floral variable costs per unit 1 6 S42 10 1 2 Fixed costs per month Fixed manufacturing verhead Fixed selling and administrative Total and cost per month $216 338 $55.0 1 Units The product sells for $98 per unit. The company started July with no finished goods inventory. Production and sales data for July and August are as follows: Beginning Ending Lits Sold Inventory Produced inventory 54,000 July 16.000 8,000 8.000 48,000 August 52.000 4.000 D Note: Some green and blue highlighted areas may not need to be used. 40 Required: 1. Determine the unit product cost under absorption costing and variable costing for July and August (4 marks) Variable Costine horntion Costing MEN CLICK HERE TO SAVE YOUR WORK 21 Note: Some green and blue highlighted areas may not need to be used 23 Required: 1. Determine the unit product cost under absorption costing and variable costing for July and August (1 marks) 24 25 26 Absorption Costing July August Variable Costing July August 27 28 29 -0 1 - Unit product cost 2. Prepare, in good form, operating income statements for Linden Company for August only using a) Absorption Costing. (6 marks) Supporting calculations 50 SI b) Variable Costing (5 marks) 52 Supporting calculation 3 4 - 3. Reconcile Linden Company's operating income reported under absorption and variable costing for August only. Be sp about where the difference in operating income comes from. (3 marks) Supporting calcu Variable costing operating income (loss) Absorption costing operating income (loss) - Compare the 2 costing methods and explain how each method is used by companies. (2 marks) HOME DATA - Rut Fonte- - Y DO be > wrap Creithe COPY Merge CLICK HERE TO SAVE YOUR WORK 1 A 62 3. 6. Reconcile Linden Company's operuting income reported under absorption and variable couting for Augen only. Be specific about where the difference in operating income comes from. (3 marks) Supporting collections Variable casting operating income (los) 04 65 06 67 6 GO 30 Absorption costing operating income (losa) 2 20 3 4. Compare the 2 costing methods and explain how each method is used by companies. (2 marka)