Question
please answer all of the following required questions Tami Tyler Opened Tami's Creations, Incorporated, a small manufacturing company, at the beginning of the year. Getting
please answer all of the following required questions
Tami Tyler Opened Tami's Creations, Incorporated, 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 s Creations, incorporated Income Statement 466,950 175,460 489,59e 281, 221,39e Sales (28,30e units) Variable expenses: Variable cost of goods sold Variable selling and administrative Contribution margin Fixed expenses: Fixed manufacturing overhead Fixed selling and administrative Net operating loss 642 ,41 593,090 $ ( 13, sae) Ms. Tyler is discouraged over the loss shown for the quarter. particularly beca use 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 producta swimsuit. Production and cost data relating to the swimsuit for the first quarter follow: Units produced Units sold Variable costs per unit: Direct labor Variable manufacturing overhead selling and administrative Variable Direct labor , Variable manufacturing overhead Variable selling and administrative Requ ired: 1_ Complete the following: 31, 3e 28, $ 7.30 $ 1.50 $ 7.70 $ l.s $ 6.20 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 31,300 units but sold 34.300 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 (losses) for the second quarter_ Complete this question by entering your answers in the tabs below. Req IA Req 1B Req Req 3A Req 3d Req 39 During the second quarter of operations, the company again produced 31,300 units but sold 34,300 units. (Assume no change in total fixed costs.) What is the company's variable costing net operating income (loss) for the second quarter? (Round your intermediate calculations to 2 decimal places.)
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