Question
Walsh Company produces a single product. Last year, the company manufactured 25,000 units and sold 22,000 units. Production costs were as follows: Direct Material $100,000
Walsh Company produces a single product. Last year, the company manufactured 25,000 units and sold 22,000 units. Production costs were as follows:
Direct Material $100,000 |
Direct Labor. $ 75,000 |
Variable Manufacturing Overhead $. 50,000 |
Fixed Manufacturing Overhead. $ 75,000 |
Under absorption costing, the unit product cost will be: |
Under absorption costing, the gross margin will be: |
The contribution margin per unit will be: |
Under variable costing, the total amount of fixed manufacturing cost in the ending inventory will be: |
The net operating income under variable costing will be: |
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