Xantra Corp. is a manufacturer of specialty in-line skates. The operating results for 2020 are as follows:

Units produced		19,000	pairs
Units sold		17,600	pairs
Selling price		$225	per pair

Production information:
Direct materials		$988,000
Direct labour		722,000
Variable manufacturing overhead		427,500
Fixed manufacturing overhead		741,000
Variable marketing costs		176,000
Fixed marketing costs		202,000

There was no beginning finished goods inventory.

Prepare a throughput-costing income statement.

XANTRA Corp. Income Statement December 31, 2020Month Ended December 31, 2020Year Ended December 31, 2020 Throughput Costing
	Production in units
	Sales in units
	SalesInventory, beginningInventory, endingThroughput contribution marginNet incomeOperating expensesTotal operating expensesCost of goods sold				$
	AddLess : Net incomeOperating expensesThroughput contribution marginInventory, beginningCost of goods soldInventory, endingSalesTotal operating expenses
	SalesTotal operating expensesInventory, beginningInventory, endingThroughput contribution marginOperating expensesNet incomeCost of goods sold
	AddLess : Net incomeCost of goods soldInventory, beginningSalesInventory, endingThroughput contribution marginOperating expensesTotal operating expenses
	Direct labour costs Fixed costs Direct material costs Variable selling and administrative expenses Fixed selling and administrative expenses Variable manufacturing costs Variable marketing costs Fixed manufacturing overhead		$
	Variable marketing costs Direct material costs Variable selling and administrative expenses Direct labour costs Fixed costs Fixed selling and administrative expenses Fixed manufacturing overhead Variable manufacturing costs
	Fixed manufacturing overhead Variable manufacturing costs Direct material costs Variable selling and administrative expenses Direct labour costs Fixed costs Fixed selling and administrative expenses Variable marketing costs
	Inventory, ending Operating expenses Total operating expenses Cost of goods sold Inventory, beginning Sales Net income Throughput contribution margin
	Inventory, endingInventory, beginningTotal operating expensesSalesCost of goods soldNet incomeThroughput contribution marginOperating expenses				$

Reconcile the net incomes under throughput costing and variable costing.

Throughput-costing net income		$
Costs deferred in ending inventory		$
Variable-costing net income		$