Question: Exercise 6-1 Variable and Absorption Costing Unit Product Costs [LO6-1) Ida Sidha Karya Company is a family-owned company located on the island of Bali in
Exercise 6-1 Variable and Absorption Costing Unit Product Costs [LO6-1) Ida Sidha Karya Company is a family-owned company located on the island of Bali in Indonesia. The company produces a handcrafted Balinese musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $827 Selected data for the company's operations last year follow 20,000 18,000 2.000 Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs Fixed manufacturing overhead Fixed selling and administrative $ 5 $ $ 210 400 53 18 $ 680,000 $ 600,000 Required: Assume that the company uses absorption costing Compute the unit produto cost for one gamelan (Round your intermediate 2. Asume that the company uses variable costing Compute the unit product cost for one gamelan calculations and final answer to the nearest whole dollar amount) 1 Absorption costing unit product cost 2 Variable costing unit productos
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
