on about the production and sales of that product for the past year follow. - i Data Table em for ond ed Selling price per unit 47.00 Direct material per unit 16.00 Direct labor per unit. $ 12.00 Total annual manufacturing overhead. $ 207,000 Fixed portion of annual manufacturing overhead . $ 69,000 Variable operating expenses per unit sold 7.00 Fixed operating expenses per year in total...... $ 45,000 Units manufactured 23,000 Units sold 20,000 .... or the yg Print Done austries Statement (Variable Costing) number in the input fields and then continue to the next question nd Queen Industries has one product. Information about the production and sales of that product for the past year follow. II Click the icon to view the data. The company had no beginning inventory Read the requirements Requirement 1. Prepare two income statements for the year, one using absorption costing and one using variable costing Begin by preparing the income statement for the year using absorption costing. Queen Industries Income Statement (Absorption Costing) For the Year Ended Sales revenus Less arable expenses Loss Now prepare the income statement for the yearsing variable costing Queen Industries Contribution Margin Income Statement (Variable Costing) Choose from any list of enter any number in the input fields and then continue to the next question 6000 3 4 5 6 & 7 8 9 0 E R. . Y 0 c. Queen Industries has one product. Information about the production and sales of that product for the past year follow. (Click the icon to view the data.) The company had no beginning inventory. Read the requirements Now prepare the income statement for the year using variable costing Queen Industries Contribution Margin Income Statement (Variable Costing) For the Year Ended Less Less Use the statements you prepared to answer the following questions: Choose from any list or enter any number in the input fields and then continue to the next question. 6000 3 4 & 5 7 8 co 0 R. T Queen Industries has one product. Information about the production and sales of that product for the past year follow. Click the icon to view the data) The company had no beginning inventory. Read the requirements Use the statements you prepared to answer the following questions: 1a. What is the product cost per unit using absorption costing? 1b. What is the product cost per unit using variable costing? 10. What is the ending inventory balance using absorption costing? 1d. What is the ending inventory balance using variable costing? 1o What is cost of goods sold using absorption costing? 11. What is cost of goods sold using variable costing? 19 What is operating income using absorption costing? th. What is operating income using variable costing? Requirement 2. What is the underlying reason for the difference in operating income between the two costing methods? costing generates a higher operating income. This is because under absorption costing whes variable costing Choose from any list or enterary amber in the input fields and then continue to the next question 6.000 3 4 5 6 7 00 9 E R. T 0 F G H J
