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Tami Tyler opened Tami's Creations, Incorporated, 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, Incorporated, 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. M5. Iyler is discouraged over the loss shown for the quarter, particularly because she had planned to use the statement as support for a bank loon. 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. Required: 1. Complete the following: a. Compute the unit product cost under absorption costing. b. What is the company's absorption costing net operating income (lass) for the quarter? c. Reconcile the variable and absorption costing net operating income (loss) figures. Compute the unit product cost under absorption costing. (Round your answer to 2 decimal places.) Tami's Creations, Incorporated Absorption Costing Income Statement Reconcile the variable and absorption costing net operating income (loss) figures. (Losses'and deductio is a negative.) During the second quarter of operations, the company again produced 32,000 units but sold 35,000 units, (Assume no change In total fixed costs.) What is the company's absorption costing net operating income (loss) for the second quarter? (Round your intermediate calculations to 2 decimal places.) During the second quarter of operations, the company again produced 32,000 units but sold 35,000 units. (Assume no change in total fixed costs.) Reconcile the variable costing and absorption costing net operating incomes (losses) for the second quarter. (Losses and deductions should be entered as a negative.)

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