Ida Sidha Karya Company is a family-owned company located on the island of Ball in Indonesia, The company produces a handcrafted Balinese musical Instrument called a gamelan that is similar to a xylophone. The gamelons are sold for $910. Selected data for the company's operations last year follow: 0 310 280 30 Unita in beginning inventory Units produced Units sold Units in ending inventory Variable costa per unitt Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Tixed contar Fixed manufacturing overhead Fixed selling and administrative 6 $ $ $ 130 350 50 40 $ 62,000 $ 26,000 The absorption costing Income statement prepared by the company's accountant for last year appears below: Sales Coat of goods sola Gross margin Selling and administrative expense Not operating income $ 254,800 204,400 50,400 37,200 $ 13,200 Required: 1. Under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year? 2. Prepare an income statement for last year using variable costing. What is the amount of the difference in net operating Income between the two costing methods? Complete this question by entering your answers in the tabs below. SV Homework The absorption costing income statement prepared by the company's accountant for last year appears below: Salen Cost of goods sold Gross margin Selling and administrative expense Net operating income $ 254,800 204,400 50,400 37,200 $ 13,200 Required: 1. Under absorption costing, how much fixed manufacturing overhead cost is included in the company's Inventory at the end of las year? 2. Prepare an income statement for last year using variable costing. What is the amount of the difference in net operating income between the two costing methods? Complete this question by entering your answers in the tabs below. Reg 1 Req ZA Reg 28 Under absorption costing, how much fixed manufacturing overhead cost is included in the company's Inventory at the end of last year? Fixed manufacturing overhead cost included in inventory is 6,000 Req 2A > between the two costing methods? Complete this question by entering your answers in the tabs below. Req1 Reg 2A Reg 28 Prepare an Income statement for last year using variable costing. $ 254,800 Ida Sidha Karya Company Variablo Costing Income Statement Sales Variable expenses: Variable cost of goods sold Variable selling and administrative expenses Variable cost of goods sold 0 254,800 Contribution margin Fixed expenses Fixed selling and administrative expenses Fixed manufacturing overhead 0 254,800 $
