Question
Mateo has the following information related to its manufacturing operations in the first two years of operations: Year 1 Year 2 Production units 110,000 125,000
Mateo has the following information related to its manufacturing operations in the first two years of operations:
|
| Year 1 | Year 2 |
| Production units | 110,000 | 125,000 |
| Sales price per unit | $ 32.00 | $ 32.00 |
| Units sold | 100,000 | 127,000 |
| Direct Materials per unit | $ 8.00 | $ 8.00 |
| Direct Labor per unit | $ 5.00 | $ 5.00 |
| Variable Manufacturing OH per unit | $ 4.00 | $ 4.00 |
| Fixed Manufacturing OH costs | $330,000 | $330,000 |
| Variable selling costs per unit | $ 6.00 | $ 6.00 |
| Fixed selling costs | $120,000 | $120,000 |
There was no beginning inventory in Year 1.
a. Prepare Income Statements for each year (Year 1 and Year 2) based on Full Costing (round intermediate calculations to two decimals).
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Mastering The Five Tiers Of Audit Competency Internal Audit And IT Audit
Authors: Ann Butera
1st Edition
1498738494, 978-1498738491
