Income Statements with Variance

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of normal capacity. Assume that Venneman sold 14,000 units at $165 per unit. Required: Prepare an income statement through gross profit for Venneman Company for the month ended March 31. Refer to the lists of Labels and Amount Descriptions for the exact wording of text entries. Enter all amounts as positive numbers except favorable variances. Use a minus sign to indicate favorable variances. A colon (:) will automatically appear for you if it is required. Labels and Amount Descriptions Labels For the Month Ended March 31 For the Year Ended March 31 Variance adjustments to gross profit at standard Amount Descriptions Add net favorable variance from standard Cost of goods sold-at standard Direct labor rate Direct labor time Direct materials price Direct materials quantity Factory overhead controllable Factory overhead volume Gross profit-at standard Gross profit Less net unfavorable variance from standard Sales as positive numbers except favorable variances. Use a minus sign to indicate favorable variances. A colon (:) will automatically appear for you if it is required