Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hi- Can I please have assistance on the following: Variable costs per unit: Direct materials $ 3 Direct labor 9 Variable manufacturing overhead 2 Variable

Hi- Can I please have assistance on the following:

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed
Variable costs per unit: Direct materials $ 3 Direct labor 9 Variable manufacturing overhead 2 Variable selling and administrative 1 Total variable cost per unit $ 15 Fixed costs per month: Fixed manufacturing overhead $ 135,000 Fixed selling and administrative 169,000 Total fixed cost per month $ 304,000 I \fJuly August Sales $1,196,000 $ 1,612,000 Cost of goods sold 437,000 589,000 Gross margin 759,000 1,023,000 Selling and administrative expenses 192,000 200,000 Net operating income $ 567,000 $ 823,000 I Required 1 Required 2 Required 3 Determine the unit product cost under: (a) Absorption costing, (b) Variable costing. Unit Product Cost a. Absorption costing b. Variable costingPrepare variable costing income statements for July and August. Net operating income (less) __ Required 1 Required 2 Required 3 Reconcile the variable costing and absorption costing net operating incomes. (Enter any losses or deductions as a negative value.) Variable costing net operating income (loss) Add (deduct) xed manufacturing overhead cost deferred in (released from) inventory under absorption costing Absorption costing net operating income (loss)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Economics Foundations of Business Analysis and Strategy

Authors: Christopher Thomas, S. Charles Maurice

11th edition

978-0078021718

Students also viewed these Accounting questions