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Ogiltry Company manufactures and sells one product. The following Information pertains to each of the companys first three years of operations: ?ariahle beet per unit:
Ogiltry Company manufactures and sells one product. The following Information pertains to each of the companys first three years of operations: ?ariahle beet per unit: Direct Iateriala $ 25 Fixed coats per year: Direct labor $1,330,000 Fixed manufacturing overhead 5 832,000 Fixed selling and administrative expenses $ 265,000 The company does not Incur any variable manufacturing overhead costs or variable selling and administrative expenses. During its first year of operations. Ogilvy produced 30,000 units and sold 30,000 units. During its second year of operations. It produced 30,000 units and sold 65,200 units. In Its Third year. Ogll'v'y produced 30,000 units and sold 13.300 units. The selling price of The company's product Is 361 per unit Required: 1. Assume the company uses super-yarlable costing: a. Compute the unit product cost for Year1.'rear 2, and Year 3. b. Prepare an income statement for 'r'ear1, Year 2, and rear 3. 2. Assume the company uses a variable costing system that assigns $19 of direct labor cost to each unit produced: a. Compute the unit product cost for 'r'ear1."rear 2, and Year 3. b. Prepare an income statement for \"fear 1, \"rear 2, and 'rear 3. 3. Reconcile the difference between the super-variable costing and variable costing net operating Incomes in \"fears 1. 2, and 3. Complete this question by entering your answers in the tabs below. Req 1A Req 18 Reg 2A Req 28 Req 3 Compute the unit product cost for Year 1, Year 2, and Year 3. Assume the company uses super-variable costing. Unit Product Cost Year 1 Year 2 Year 3 Complete this question by entering your answers in the tabs below. Req 1A Req 18 Reg 2A Req 28 Reg 3 Prepare an income statement for Year 1, Year 2, and Year 3. Assume the company uses super-variable costing. Ogilvy Company Super-Variable Costing Income Statement Year 1 Year 2 Year 3 Fixed expenses: Total fixed expenses Net operating income(loss) Complete this question by entering your answers in the tabs below. Req 1A Req 18 Reg 2A Req 28 Reg 3 Compute the unit product cost for Year 1, Year 2, and Year 3. Assume the company uses a variable costing system that assigns $19 of direct labor cost to each unit produced. Unit Product Cost Year 1 Year 2 Year 3 Complete this question by entering your answers in the tabs below. Req 1A Req 1B Reg 2A Req 28 Reg 3 Reconcile the difference between the super-variable costing and variable costing net operating incomes in Years 1, 2, and 3. Year 1 Year 2 Year 3 Super-variable costing net operating income (loss) Variable costing net operating income (loss)
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