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need help in all requirements. please add work/steps. thank you. Tami Tyler opened Tami's Creations, Inc., a small manufacturing company, at the beginning of the
need help in all requirements. please add work/steps. thank you.
Tami Tyler opened Tami's Creations, Inc., a small manufacturing company, at the beginning of the year. Getting the company through its first quarter of operations placed a considerable strain on Ms. Tyler's personal finances. The following income statement for the first quarter was prepared by a friend who has just completed a course in managerial accounting at State University Tami's Creations, Inc. Income Statement For the Quarter Ended March 31 Sales (28,100 units) 5 1,124,000 Variable expenses: Variable cost of goods sold $ 438,360 Variable selling and administrative 193,899 632,250 Contribution margin 491,750 Fixed expenses: Fixed manufacturing overhead 297,900 Fixed selling and administrative 216,350 514,250 Net operating loss 5 ( 22,500) Ms. Tyler is discouraged over the loss shown for the quarter, particularly because she had planned to use the statement as support for a bank loan. Another friend, a CPA, insists that the company should be using absorption costing rather than variable costing and argues that if absorption costing had been used the company probably would have reported at least some profit for the quarter. At this point, Ms. Tyler is manufacturing only one product-a swimsuit Production and cost doto relating to the swimsuit for the first quarter follow 33, 100 28,100 Units produced Units sold Variable costs per unit: Direct materials Direct lobor Variable manufacturing overhead Martin And Ant 5 7.40 $6.20 $ 2.00 Ms. Tyler is discouraged over the loss shown for the quarter, particularly because she had planned to use the statement as support for a bank loan. Another friend, a CPA, insists that the company should be using absorption costing rather than variable costing and argues that if absorption costing had been used the company probably would have reported at least some profit for the quarter. At this point, Ms. Tyler is manufacturing only one product-a swimsuit Production and cost data relating to the swimsuit for the first quarter follow: 33, 100 28,109 Units produced Units sold Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative $ 7.40 $6.20 $ 2.00 $6.90 Required: 1. Complete the following: a. Compute the unit product cost under absorption costing b. What is the company's absorption costing net operating income (loss) for the quarter? c Reconcile the variable and absorption costing net operating income (loss) figures 3. During the second quarter of operations, the company again produced 33,100 units but sold 38.100 units (Assume no change in total fixed costs.) a. What is the company's variable costing net operating income (loss) for the second quarter? b. What is the company's absorption costing net operating income (loss) for the second quarter? c. Reconcile the variable costing and absorption costing net operating incomes for the second quarter. Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Req 1A Reg 1B Req 1C Req Reg 3B Req 3C Compute the unit product cost under absorption costing. (Round your answer to 2 decimal places.) Unit product cost Req 1B > ule Variable costing and absorption costing net operating incomes for the second quarter. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Req 1C Req Reg 3B Reg 30 What is the company's absorption costing net operating income (loss) for the quarter? (Round your intermediate calculations to 2 decimal places.) Tami's Creations, Inc. Absorption Costing Income Statement 0 Net operating income (loss) veidung les for the second quarter Complete this question by entering your answers in the tabs below. Req 1A Reg 1B Req 1C Req Reg 3B Req 3C Reconcile the variable and absorption costing net operating income (loss) figures. (Losses and deductions should be entere as a negative.) Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes Variable costing net operating income (loss) Absorption costing net operating income (loss) Req 1A Reg 1B Req 1C Req Req 3B Reg 3C During the second quarter of operations, the company again produced 33,100 units but sold 38,100 units. (Assume no change in total fixed costs.) What is the company's variable costing net operating income (loss) for the second quarter? Tami's Creations, Inc. Variable Costing Income Statement Sales Variable expenses Variable cost of goods sold Variable selling and administrative OOO 0 0 0 Contribution margin Fixed expenses Fixed manufacturing overhead Fixed selling and administrative 0 Net operating income (oss) Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Req 10 Req 3A Req 38 Reg 3C During the second quarter of operations, the company again produced 33,100 units but sold 38,100 units. (Assume no change in total fixed costs.) What is the company's absorption costing net operating income (loss) for the second quarter? (Round your intermediate calculations to 2 decimal places.) Tami's Creations, Inc. Absorption Costing Income Statement 0 Net operating income (loss) Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 10 Reg 3A Reg 3B Reg 3C During the second quarter of operations, the company again produced 33,100 units but sold 38,100 units. (Assume no change in total fixed costs. Reconcile the variable costing and absorption costing net operating incomes (losses) for the second quarter. (Losses and deductions should be entered as a negative.) Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes Variable costing net operating income (loss) Absorption costing net operating income (loss) Req3B Step by Step Solution
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