Question
I am attempting to complete some self assigned review and am having trouble calculating my numbers the ???? represent the totals I am having trouble
I am attempting to complete some self assigned review and am having trouble calculating my numbers the "????" represent the totals I am having trouble finding. Could you please explain the steps needed to follow to solve for the unknowns?
During the first month of operations ended July 31, Western Creations Company produced 80,000 designer cowboy hats, of which 72,000 were sold. Operating data for the month are summarized as follows:
Sales $4,320,000.002
Manufacturing costs:
Direct materials $1,600,000.00
Direct labor 1,440,000.00
Variable manufacturing cost 240,000.00
Fixed manufacturing cost 320,000.00
3,600,000.00
Selling and administrative expenses:
Variable $144,000.00
Fixed 25,000.00
169,000.00
1 .Using the variable costing concept, prepare income statements for July
sales 4,320,000
variable cogs:
variables cogm ????
inventory july 31 ????
total variable cogs ????
manufacturing margin ????
variable selling and admin expenses 144,000
contribution margin ????
fixed costs:
fixed manufacturing cost 320,000
fixed selling and admin expenses 25,000
total fixed cost 345,000
income from operations ????
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