Henry rollers produces industry used rollers. Last year, the company produced 20 000 units and sold...

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Henry rollers produces industry used rollers. Last year, the company produced 20 000 units and sold all but only 3 000 units left. The rollers sell for $205 each. Costs incurred are listed here. Material purchased $ 500 000 Materials used $ 400 000 Other variable manufacturing costs $ 600 000 Fixed manufacturing costs $ 171 000 Variable selling costs $ 180 000 Fixed selling and administrative costs $ 900 000 Beginning inventory last year held 3 000 rollers. The normal capacity is 24 000 units. Compute the volume variance to be adjusted/ deducted from cost of goods sold under absorption costing. Henry rollers produces industry used rollers. Last year, the company produced 20 000 units and sold all but only 3 000 units left. The rollers sell for $205 each. Costs incurred are listed here. Material purchased $ 500 000 Materials used $ 400 000 Other variable manufacturing costs $ 600 000 Fixed manufacturing costs $ 171 000 Variable selling costs $ 180 000 Fixed selling and administrative costs $ 900 000 Beginning inventory last year held 3 000 rollers. The normal capacity is 24 000 units. Compute the volume variance to be adjusted/ deducted from cost of goods sold under absorption costing.

Answer rating: 100% (QA)

Production and inventory data Normal capacity24000 units Be... View the full answer