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Tami Tyler opened Tami's Creations, Inc., a small manufacturing company, at the beginning of the year. Getting the company through its first quarter of operations

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Tami Tyler opened Tami's Creations, Inc., a small manufacturing company, at the beginning of the year. Getting the company through its first quarter of operations placed a considerable strain on Ms. Tyler's personal finances. The following income statement for the first quarter was prepared by a friend who has just completed a course in managerial accounting at State University. Tami's Creations, Inc. Income Statement For the Quarter Ended March 31 Sales (28,100 units) $1,124,000 Variable expenses: Variable cost of goods sold $ 463,650 Variable selling and administrative 168,600 632,250 Contribution margin 491,750 Fixed expenses Fixed manufacturing overhead 279,900 Pixed selling and administrative 225, 350 505,250 Net operating loss $ 13,500) Ms. Tyler is discouraged over the loss shown for the quarter, particularly because she had planned to use the statement as support for a bank loan. Another friend, a CPA, insists that the company should be using absorption costing rather than variable costing and argues that if absorption costing had been used the company probably would have reported at least some profit for the quarter. At this point, Ms. Tyler is manufacturing only one product-a swimsuit. Production and cost data relating to the swimsuit for the first quarter follow: 31,100 28, 100 Units produced Unito sold Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative $ 7.30 $ 7.40 $ 1.80 $ 6.00 Renuired Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 1C Req 3A Req 3B Req 3C Compute the unit product cost under absorption costing. (Round your answer to 2 decimal places.) Unit product cost ROGA Req18 > to 2 decimal places.) Tami's treations, Inc. Absorption Costing Income Statement Total Net operating income (loss) During the second quarter of operations, the company again produced 31,100 units but sold 34,100 units. What is the company's variable costing net operating income (loss) for the second quarter? Tami's Creations, Inc. Variable Costing Income Statement cos Not operating income (oss) (Reg 10 Reg 38 > Req 1A Reg 1B Req 1C Req 3A Reg 38 Req 3C During the second quarter of operations, the company again produced 31,100 units but sold 34,100 units. What is the company's absorption costing net operating income (loss) for the second quarter? (Round your intermediate calculations to 2 decimal places.) Tami's Creations, Inc. Absorption Costing Income Statement Total Net operating income (los) ences Req 1A Reg 1B Req 1C Req 3A Reg 38 Req 3C During the second quarter of operations, the company again produced 31,100 units but sold 34,100 units. Reconcile the variable costing and absorption costing net operating incomes (losses) for the second quarter. (Losses and deductions shoul be entered as a negative.) Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes Variable costing net operating income (1088) Absorption costing net operating Income (loss) ( Req 38

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