VERSION BACK NERT - tudy Question 1 Fresh Air Products manufactures and sells a variety of camping products. Recently the company opened a new plant to manufacture a deluxe portable cooking unit. Cost and sales data for the first month of operations are shown below: Beginning Inventory units Units produced 11,800 Units sold 10,800 Manufacturing costs Fixed overhead $105,200 Variable overhead $4 per unit Direct labour $11 per unit Direct material $25 per unit Selling and administrative costs Fixed $190,000 Variable 53 per unit sold The portable cooking unit sells for $112. Management is interested in the opening month's results and has asked for Assuming the company uses absorption costing income statement (6) Your answer is correct Calculate the manufacturing cost per unit Manufacturing cost 49 per unit HOW SOLUTION (b) Prepare an absorption-costing income statement for the first month of operation. Fresh Air Products Income Statement-Absorption Costing For the first month of operations Sales 1209600 Cost of goods sold Beginning inventory Add Costs of goods manufactured Goods available for sale Ending inventory Less Gross margin Less Selling and administrative expenses Operating income before tax LINK TO TEXT LINK TO TEXT Attempts: 0 of 3 used SAVE FOR LATE