The following information was collected for the first year of manufacturing for Appliance Apps:

Calculator Print Hom The following information was collected for the first year of manufacturing for Appliance Apps: Direct Materials per Unit $2.50 Direct Labor per Unit $1.50 Variable Manufacturing Overhead per Unit $0.25 Variable Selling and Administration Expenses $1.75 Units Produced 41,000 Units Sold 36,000 Sales Price $12 Fixed Manufacturing Expenses $123,000 Fixed Selling and Administration Expenses $20,000 Prepare an income statement under variable costing method. Appliance Apps Income Statement Sales Variable Cost of Goods Sold Gross Contribution Margin Variable Selling and Administration Expenses Contribution Margin Fixed Manufacturing Expenses Fixed Selling and Administration Expenses Net Income Check My Work Previous Next > All work saved Email Instructor Save and Exit Submit Assignment for Grading Determine the income using the variable costing method. Variable costing only uses the variable costs that relate directly to the production process. Keep this in mind when calculating net income under this assumption. Depending on the cost method chosen, there will be differences due to the way fixed costs are treated under each method (absorption and variable). Absorption costing includes all costs necessary for production Prepare a reconciliation to the income under the absorption method. Appliance Apps Reconciliation Net Income under Variable Costing Add: Fixed Manufacturing Overhead Deferred Net Income under Absorption Costing Check My Wor Determine the income using the variable costing method. Variable costing only uses the variable costs that relate directly to the production process. Keep this in mind when calculating net income under this assumption. Depending on the cost method chosen, there will be differences due to the way fixed costs are treated under each method (absorption and variable). Absorption costing includes all costs necessary for production Feedback Check My Work Partially correct Check My Work Previous Next > All work saved. Email Instructor Save and Exit Submit Assignment for Grading