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Lynch Company manufactures and sells a single product. The following costs were incurred during the company's first year of operations: Variable costs per unit: Manufacturing:

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Lynch Company manufactures and sells a single product. The following costs were incurred during the company's first year of operations: Variable costs per unit: Manufacturing: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative $9 $3 $4 $ 300,000 $ 190,000 During the year, the company produced 25,000 units and sold 20,000 units. The selling price of the Rompany's product is $50 per unit. Required: 1. Assume that the company uses absorption costing; a. Compute the unit product cost. b. Prepare an income statement for the year. 2. Assume that the company uses variable costing: a. Compute the unit product cost. b. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1A Req 18 Reg 2A Reg 2B Compute the unit product cost. Assume that the company uses absorption costing. Unit product cost Reg 1 Reg 10 > b. Prepare an income statement for the year. 2. Assume that the company uses variable costing: a. Compute the unit product cost. b. Prepare an income statement for the year. eBook Complete this question by entering your answers in the tabs below. Reg 1A Req 18 Req 2A Req 28 Prepare an income statement for the year. Assume that the company uses absorption costing, Lynch Company Absorption Costing Income Statement 0 $ 0 . b. Prepare an income statement for the year. 2. Assume that the company uses variable costing: a. Compute the unit product cost. b. Prepare an income statement for the year. ok Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Req ZA Req 2B Compute the unit product cost. Assume that the company uses variable costing. Unit product cost During the year, the company produced 25,000 units and sold 20,000 units. The selling price of the company's produ unit. Required: 1. Assume that the company uses absorption casting: a. Compute the unit product cost. b. Prepare an income statement for the year. 2. Assume that the company uses variable costing: a. Compute the unit product cost. b. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2A Req 2B Compute the unit product cost. Assume that the company uses variable costing. Unit product cost Req 1B Reg 2B 5 of 5

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