The following cost information relates to factory for two years. Work out the profit under absorption costing
Question:
The following cost information relates to factory for two years.
Work out the profit under absorption costing and marginal costing for the two years. Also state any abnormality in the results disclosed by absorption costing. Assume FIFO basis.
Transcribed Image Text:
Installed capacity (units) Opening stock (units) Closing stock (units) Output (units) Selling price per unit Fixed costs for the year Variable cost per unit 2001 10000 Nil 1000 10000 14 85000 2.90 2002 10000 1000 Nil 9000 14 85000 2.90
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 0% (1 review)
To calculate the profit under absorption costing and marginal costing for the two years we need to compute the cost of goods sold COGS using these two ...View the full answer
Answered By
Collins Njuguna
I graduated from Maseno University with a Bachelor of Science in Applied Statistics. After graduation, I started tutoring students in mathematics. My experience in mathematics education is extensive and varied. I have taught a wide range of topics, including algebra, geometry, trigonometry, calculus, statistics, probability, and computer science. I have also worked with students of all ages and backgrounds, from elementary school to college.
My teaching method is based on the idea of hands-on learning. I believe that students learn best when they are actively engaged in the learning process, so I focus on giving students the tools they need to explore the material on their own. I also emphasize the importance of practice and review, as these are essential for mastering math concepts.
I have also developed several online and in-person courses on mathematics. My courses are designed to help students learn mathematics in an efficient and comprehensive way, and I use a variety of activities and exercises to ensure that my students are engaged and motivated.
Overall, my passion for mathematics and teaching has allowed me to be a successful tutor and educator in the field. I am confident that my experience will help your students master the mathematics they need to succeed.
0.00
0 Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
How do you determine the number of communications channels? How does the number of people involved in a project affect this value? How can project managers control this value?
-
The phone company Ringular has a monthly plan where a customer pays a flat monthly fee, and then a set rate per minute. If a customer uses 250 minutes, the monthly cost will be $147. If the customer...
-
?Now this doesn?t make any sense at all,? said Flora Fisher, financial vice president for Warner Company. ?Our sales have been steadily rising over the last several months, but profits have been...
-
Calculate the moment of inertia about the base of composite lamina made up of a semicircle of 120 mm base diameter is removed from base of rectangle 120 mm X 500 mm such that lamina is symmetrical to...
-
Action Skateboards, Inc., manufactures state-of-the-art skateboards and related equipment. The production process involves the following departments and tasks: the Molding Department, where the...
-
Suppose there are two countries. In the rich country, the representative consumer has Hr units of human capital, and total factor productivity is zr. In the poor country, the representative consumer...
-
Given the Irwin-Hall distribution with pdf, \[f_{Y}(y)=\frac{1}{2(n-1) !} \sum_{k=0}^{n}(-1)^{k}\left(\begin{array}{l}n \\k\end{array} ight)(y-k)^{n-1} \operatorname{sign}(y-k)\] where the sign...
-
Product S is normally sold for $13 per unit. A special price of $9 is offered for the export market. The variable production cost is $7 per unit. An additional export tariff of 30% of revenue must be...
-
8. Provide reasons why each of the following is not an inner product on the given vector spaces. (a) ((a, b), (c, d)) = = ac - bd on R. (b) (A, B)=tr(A + B) on M2x2(R). (c) (f(x), g(x)) = f f'(t)g(t)...
-
Of all the price analysis methodologies that exist, which are the foundational methods. Longing & Shorting. Trading & Investing. Volume & sentiment. On-chain & Macroeconomic. Mean reversion &...
-
To obtain the break-even point in rupee sales value, total fixed costs are divided by: (a). Variable cost per unit; (b). Contribution margin per unit; (c). Fixed cost per unit; (d). Profit/volume...
-
What do you mean by marginal costing? Discuss its usefulness and limitations.
-
Barney Ltd has recently appointed a new accountant who has produced a Sales ledger control account for the month of May 2012 as follows: The actual list of Trade receivables ledger balances at 31...
-
Suppose that you sell for $11 each three call options with a strike price of $69, and buy for $8 each two put options with a strike price of $63. Suppose all options have the same expiration date 0.8...
-
Suppose that you sell for $3 a call option with a strike price of $68, and you purchase for $53 a share of the stock. What is your maximum possible profit? Answer = $
-
Metropolitan Limited, a construction company, is planning to acquire new earth-moving equipment at a cost of $10 million, and is considering the following alternative sources of finance: (i) A bank...
-
8 we arrange In how many ways can books in 4 empty spaces.
-
A refrigerator contains 6 apples, 5 oranges, 10 bananas, 3 pears, 7 peaches, 11 plums, and 2 mangos. Imagine you stick your hand into the refrigerator and pull out a piece of fruit at random. What is...
-
The histogram in Figure is constructed from a simple random sample of children. If you construct a histogram with data collected from a voluntary response sample, will the distribution depicted in...
-
Sheldon and Leonard had a million-dollar idea. In order to make it happen, they have to do special research first. Only Kripke can help them in this matter. But Kripke is known to be the first-class...
-
Journal entries 1. Prepare journal entries for variable and fixed manufacturing overhead (you will need to calculate the various variances to accomplish this). 2. Overhead variances are written off...
-
Journal entries 1. Prepare journal entries for variable and fixed manufacturing overhead (you will need to calculate the various variances to accomplish this). 2. Overhead variances are written off...
-
Journal entries 1. Prepare journal entries for variable and fixed manufacturing overhead (you will need to calculate the various variances to accomplish this). 2. Overhead variances are written off...
-
Subject is Customer Experience Design and this question is asked by prof at centennial college for corporate account management course. Read Online: United Crew Tells Mom That Her Crying Baby is...
-
How do Agile scaling frameworks such as SAFe (Scaled Agile Framework) and LeSS (Large-Scale Scrum) address the complexities of coordinating multiple Agile teams within large enterprises, while...
-
Members BC and ABC need a material that can withstand at least 1643 psi. (based on chart provided a. ???Will we be able to use 1018 steel for either members ABC, BD, or both? b. ???If not would cold...
Study smarter with the SolutionInn App