sales for year 2 total $1,700,000

Leidenheimer Corporation manufactures small airplane propellers Sales for year 2 totaled $1,70,000. Information regarding resources for the month follows: In addition, Leidenheimer spent $50.000 on 50 engineering changes with a cost driver rate of $1,000 and $60,000) on eight outside contracts with a cost driver rate of $7,500. Required Management has requested that you do the following: Prepare a traditional income statement Prepare an activity -based income statement Write a short report explaining why the activity-based income stateroom provides useful information to managers. Use the information from requirements (a) and (b) to develop examples for your report. Leidenheimer Corporation manufactures small airplane propellers Sales for year 2 totaled $1,70,000. Information regarding resources for the month follows: In addition, Leidenheimer spent $50.000 on 50 engineering changes with a cost driver rate of $1,000 and $60,000) on eight outside contracts with a cost driver rate of $7,500. Required Management has requested that you do the following: Prepare a traditional income statement Prepare an activity -based income statement Write a short report explaining why the activity-based income stateroom provides useful information to managers. Use the information from requirements (a) and (b) to develop examples for your report