Question Help Hardwick Manufacturing manufactures a single product that it will sell for $91 per unit. The company is looking to During its first year of operations, the company plans to manufacture 21,000 units and anticipates selling 18,000 of project is operating income for its first two years of operations. Cost information for the single unit of its product is those units. During the second year of its operations, the company plans to manufacture 21.000 units and as follows: anticipates selling 23,000 units ( has units in beginning inventory for the second year from its first year of (Click the icon to view the data) operations) Read the requirements Requirement 1. Prepare an absorption costing income statement for (a) the first year of operations and (b) the second year of operations. Hardwick Manufacturing Income Statement(Absorption Costing) (a) Year 1 b) Year 2 Los Requirement 2. Before you prepare the variable costing income statements for Hardwick, predict the company's operating income using variable costing for both its first year and its second year without preparing the variable costing Income statements. Mint Calculate the variable costing operating income for a given year by taking that year's absorption costing operating income and adding or subtracting the difference in operating income as calculated using the following formula: Difference in operating income (Change in inventory level in units x Flved MOH per unit) Begin by calculating the difference in income each year using the formula provided Choose from any list or enter any number in the input fields and then continue to the next question Question Help Hardwick Manufacturing manufactures a single product that it will sell for $91 per unit. The company is looking to During its first year of operations, the company plans to manufacture 21.000 units and anticipates selling 18,000 of project is operating income for its first two years of operations. Cost information for the single unit of its product is fose units. During the second year of its operations, the company plans to manufacture 21.000 units and as follows anticipates selling 23,000 units (it has units in beginning inventory for the second year from its first year of (Click the icon to view the data.) operations) Read the resuirements Begin by calculating the difference in income each year using the formula provided. Change in Inventory Fixed MOH Difference in Year level in units per unit - operating income 1 2 Now predict Hardwick's operating income under variable costing for both its first year and its second year of r of operations Operating income Year under variable costing 1 2 Requirement 3. Prepare a variable conting income statement for (a) the frest year of operations and (b) the second year of operations Hardwick Manufacturing Contribution Margin Income Statement Variable Costing Choose from any list or enter any number in the input fields and then continue to the next question 2 Question Help Hardwick Manufacturing manufactures a single product that it will sell for $91 per unit. The company is looking to During its first year of operations, the company plans to manufacture 21.000 units and anticipates selling 18,000 of project its operating income for its first two years of operations. Cost information for the single unit of its product is those units. During the second year of its operations, the company plans to manufacture 21.000 units and anticipates selling 23.000 units (it has units in beginning inventory for the second year from its first year of (Click the icon to view the data) operation) Read the requirements Requirement 3. Prepare a variable costing income statement for the first year of operations and (b) the second year of operations. Hardwick Manufacturing Contribution Margin Income Statement (Variable Costing) (a) Year 1 (b) Year 2 Less Less r unit. The company is looking to for the single unit of its product is During its first year of operations, th those units. During the second year anticipates selling 23,000 units (it has operations). Read the requirements. i More Info - X . Direct material per unit produced $38 Direct labor cost per unit produced $17 Variable manufacturing overhead (MOH) per unit produced $11 Variable operating expenses per unit sold $2 Fixed manufacturing overhead (MOH) for each year is $210,000, while fixed operating expenses for each year will be $84,000. . . Print Done ents poth its fir for a given year by taking that year's absorption costing operating income and adding or subt level in units x Fixed MOH per unit). la provided men continue to the next question. tv 2 of 3 (0 complete) - $91 per unit. The company is looking to ommation for the single unit of ite product is During its first year of operations, the com those units. During the second year of its X Requirements re 1. Prepare an absorption costing income statement for the following: a. The first year of operations b. The second year of operations 2. Before you prepare the variable costing income statements for Hardwick, predict the company's operating income using variable costing for both its first year and its second year without preparing the variable costing income statements. Hint: Calculate the variable costing operating income for a given year by taking that year's absorption costing operating income an adding or subtracting the difference in operating income as calculated using the following formula: Difference in operating income = (Change in inventory level in units x Fixed MOH per unit) 3. Prepare a variable costing income statement for each of the following years: a. The first year of operations b. The second year of operations state ng inco invento first ye ubtractir he form Print Done es and then continue to the next question. tv A
