I really need would like some help with this ... worked out and why. Cost Accounting is not my expertise.
Data Table variable costing income statements April May April 2017 May 2017 $ 10,395,000 Unit data: S 9,450,000 $ 0 $ 450,000 4.275,000 4,500,000 4.725,000 (270,000) Beginning inventory 0 50 Production 500 475 Sales 450 495 Variable costs: Manufacturing cost per unit produced $ 9,000 $ 9,000 Operating (marketing) cost per unit sold 3,800 3,800 Fixed costs: Manufacturing costs $ 2,400,000 $ 2,400,000 Operating (marketing) costs 500,000 500,000 The selling price per vehicle is $21,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 500 units. There are no price, efficiency, or spending variances. Any production-volume variance is written off to cost of goods sold in the month in which it occurs. Revenues Variable costs: Beginning inventory Variable manufacturing costs Cost of goods available for sale Less: Ending inventory Variable cost of goods sold Variable operating costs Total variable costs Contribution margin Fixed costs: Fixed manufacturing costs Fixed operating costs Total fixed costs Operating income 4,500,000 (450,000) 4,050.000 1,710,000 4,455,000 1.881,000 5,760,000 6.336.000 3,690,000 4,059,000 2,400,000 500,000 2,400,000 500,000 2.900.000 2.900.000 5 790,000 $ 1,159,000 Print Done Print Done - X absorption costing income statements The variable manufacturing costs per unit of Fast Track Motors are as follows: E (Click the icon to view the variable manufacturing costs per unit) Read the requirements. Data Table April 2017 May 2017 $ 9,450,000 $ 10,395,000 April May $ 0 S 4,500,000 2,400,000 690,000 4,275,000 2,280,000 Direct material cost per unit Direct manufacturing labor cost per unit Manufacturing overhead cost per unit $ 6,800 S 6,600 1,100 1,100 1,300 1.300 Revenues Cost of goods sold: Beginning inventory Variable manufacturing costs Allocated fixed Manufacturing costs Cost of goods available for sale Less: Ending inventory Adjustment for production-volume variance Cost of goods sok Gross margin Operating costs: Variable operating costs Fixed operating costs 6,900,000 (690,000) 0 7,245,000 (414,000) 120.000 U Print Done 6,210,000 6,951,000 3,240,000 3,444.000 X 1,710,000 500,000 1,281,000 500,000 Requirements Total operating costs 2,210.000 S 1,030.000 2,381,000 S 1,063,000 Operating Income 1. Prepare income statements for FastTrack Motors in April and May 2017 under throughout costing. 2. Contrast the results in requirement 1 with the absorption and variable costing income statements presented. 3. Give one motivation for Fast Track Motors to adopt throughput costing. Print Done Print Done Choose from any list or enter any number in the input fields and then click Check Answer. The variable manufacturing costs per unit of FastTrack Motors are as follows: (Click the icon to view the variable manufacturing costs per unit.) FastTrack Motors assembles and sells motor vehicles and uses standard costing. Actual data and variable costing and absorption costing income statements relating to April and May 2017 are as follows: (Click the icon to view the data.) (Click the icon to view the variable costing income statements.) (Click the icon to view the absorption costing income statements.) .... Read the requirements. IIII. Requirement 1. Prepare income statements for FastTrack Motors in April and May 2017 under throughput costing. Begin by completing the top portion of the statement, then the bottom portion. (Complete all answer boxes. Enter a "0" for any zero amounts.) April 2017 May 2017 Revenues
