Question
stuck on this q pl explain and answer with formulas .. Stark and Company would like to evaluate one of the product lines that they
stuck on this q pl explain and answer with formulas .. Stark and Company would like to evaluate one of the product lines that they sell to the defense department. Every month the Stark and Company produce an identical number of units, although the sales in units differ from month to month.
Selling price
$105
Units in beginning inventory
110
Units produced
6,400
Units sold
6,100
Units in ending inventory
600
Variable costs per unit:
Direct materials
$62
Direct labour
$48
Variable manufacturing overhead
$3
Variable selling and administrative
$7
Fixed costs:
Fixed manufacturing overhead
$64,000
Fixed selling and administrative
$35,600
Submission Instructions:
1.Under variable costing, identify the unit product cost for the month.
2.What is the unit product cost for the month under absorption costing?
3.with an income statement for the month using the contribution format and the variable costing method.
4.with an income statement for the month using the absorption costing method.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started