Question 5

Chuck Wagon Grills, Inc., makes a single product-a handmade specialty barbecue grill that it sells for $210. Data for last year's operations follow: Units in beginning inventory Units produced Unita sold Units in ending inventory Variable costs per unit: 9,700 9,000 700 Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Total variable cost per unit 54 32 12 18 126 Fixed costs: Fixed manufacturing overhead Fixed selling and administrative Total fixed costs $291,000 505,000 $796, 000 Required: 1. Assume that the company uses absorption costing. Compute the unit product cost for one barbecue grill. 2. Assume that the company uses absorption costing. Prepare an income statement for last year Complete this question by entering your answers in the tabs below Required 1Required 2 Assume that the company uses absorption costing. Compute the unit product cost for one barbecue grill Required 1 Required 2>