Ida Company produces a handcrafted musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $862. Selected data for the companys operations last year follow:

Units in beginning inventory	0
Units produced	20,000
Units sold	18,000
Units in ending inventory	2,000
Variable costs per unit:
Direct materials	$ 270
Direct labor	$ 370
Variable manufacturing overhead	$ 48
Variable selling and administrative	$ 24
Fixed costs:
Fixed manufacturing overhead	$ 680,000
Fixed selling and administrative	$ 610,000

Required:

1. Assume that the company uses absorption costing. Compute the unit product cost for one gamelan. (Round your intermediate calculations and final answer to the nearest whole dollar amount.)

2. Assume that the company uses variable costing. Compute the unit product cost for one gamelan.

question #2

Royal Lawncare Company produces and sells two packaged productsWeedban and Greengrow. Revenue and cost information relating to the products follow:

	Product
	Weedban	Greengrow
Selling price per unit	$ 9.00	$ 33.00
Variable expenses per unit	$ 2.80	$ 12.00
Traceable fixed expenses per year	$ 136,000	$ 41,000

Last year the company produced and sold 41,500 units of Weedban and 15,500 units of Greengrow. Its annual common fixed expenses are $101,000.

Required:

Prepare a contribution format income statement segmented by product lines.