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Ida Sidha Karya Company is a family-owned company located in the village of Gianyar on the island of Bali in Indonesia. The company produces a
Ida Sidha Karya Company is a family-owned company located in the village of Gianyar on the island of Bali in Indonesia. The company produces a handcrafted Balinese musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold to a Canadian importer for $910. Selected data for the company's operations last year follow: Screen Shot 2021-03-14 at 12.10.31 PM Q Search 6 318 289 30 Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs: Fixed manufacturing overhead Fixed selling and administrative 2. Prepare an income statement for the year using variable costing, $ $ $ $ 139 350 50 48 IDA SIDHA KARYA COMPANY Variable Costing Income Statement $62,000 $26,000 Variable expenses: An absorption costing income statement prepared by the company's accountant appears below: 0 0 0 $254,800 204,400 Fixed expenses: Sales Cost of goods sold Gross margin Selling and administrative expense Net operating income 50,400 37,200 0 $ 13,200 S D Required: 1. Determine how much of the ending inventory consists of fixed manufacturing overhead cost deferred in inventory to the next period. Total fixed manufacturing overhead in ending inventory
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