Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

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

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Payroll Accounting

Authors: Bernard J. Bieg, Judith A. Toland

2013 edition

113396253X, 978-1133962533

More Books

Students also viewed these Accounting questions