QUESTION FIVE INFORMATION The following information relates to the only product made by Fabby Limited for...

 

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QUESTION FIVE INFORMATION The following information relates to the only product made by Fabby Limited for the year ended 31 December 2021: Opening Inventory Number of units manufactured Number of units sold (at R5 940 per unit) Direct Materials costs per unit Direct Labour costs per unit Variable manufacturing overheads cost per unit Variable selling expenses per unit Fixed Manufacturing overhead cost Fixed selling and administrative expenses 0 99 000 98 000 R990 R1980 R980 R220 R4 950 000 R1 980 000 (20 Marks) REQUIRED: Draft the income statement for the year ended 31 December 2021 using the: 5.1 Marginal Costing method 5.2 Absorption Costing method (10 marks) (10 marks) QUESTION FIVE INFORMATION The following information relates to the only product made by Fabby Limited for the year ended 31 December 2021: Opening Inventory Number of units manufactured Number of units sold (at R5 940 per unit) Direct Materials costs per unit Direct Labour costs per unit Variable manufacturing overheads cost per unit Variable selling expenses per unit Fixed Manufacturing overhead cost Fixed selling and administrative expenses 0 99 000 98 000 R990 R1980 R980 R220 R4 950 000 R1 980 000 (20 Marks) REQUIRED: Draft the income statement for the year ended 31 December 2021 using the: 5.1 Marginal Costing method 5.2 Absorption Costing method (10 marks) (10 marks)

Answer rating: 100% (QA)

51 Marginal Costing Method Income Statement for the year ended 31 December 2021 Revenue 98000 units ... View the full answer