McCarthy Fender, which uses a standard cost system, manufactured 20,000 boat fenders during 2018. The 2018 revenue and cost information for McCarthy follows:
Sales Revenue ............................................... $ 1,300,000
Cost of Goods Sold (at standard) ............................ 196,800
Direct materials cost variance ................................. 7,150 F
Direct materials efficiency variance ......................... 5,950 U
Direct labor cost variance ....................................... 400 U
Direct labor efficiency variance ................................. 530 F
Variable overhead cost variance ................................ 650 U
Variable overhead efficiency variance ......................... 360 F
Fixed overhead cost variance ................................. 2,350 U
Fixed overhead volume variance ............................. 4,410 U
Assume each fender produced was sold for the standard price of $65, and total selling and administrative costs were $250,000. Prepare a standard cost income statement for 2018 for McCarthy Fender?