Oak Mart, a producer of solid oak tables, reports the following data from its second year...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Oak Mart, a producer of solid oak tables, reports the following data from its second year of business. Sales price per unit $ Units produced this year Units sold this year 320 per unit 100,000 units 103,500 units 3,500 units Units in beginning-year inventory Beginning inventory costs $ 455,000 Variable (3,500 units x $130) Fixed (3,500 units x $75) Total 262,500 $ 717,500 Manufacturing costs this year Direct materials Direct labor $ Overhead costs this year Variable overhead $3,600,000 Fixed overhead $7,000,000 Selling and administrative costs this year Variable Fixed $1,300,000 4,400,000 2. Prepare the current-year income statement for the company using absorption costing. OAK MART COMPANY Absorption Costing Income Statement Beginning inventory Manufacturing costs this year Net income (loss) Fixed costs added to(subtracted from) inventory 48 per unit 64 per unit Oak Mart, a producer of solid oak tables, reports the following data from its second year of business. Sales price per unit $ Units produced this year Units sold this year 320 per unit 100,000 units 103,500 units 3,500 units Units in beginning-year inventory Beginning inventory costs $ 455,000 Variable (3,500 units x $130) Fixed (3,500 units x $75) Total 262,500 $ 717,500 Manufacturing costs this year Direct materials Direct labor $ Overhead costs this year Variable overhead $3,600,000 Fixed overhead $7,000,000 Selling and administrative costs this year Variable Fixed $1,300,000 4,400,000 2. Prepare the current-year income statement for the company using absorption costing. OAK MART COMPANY Absorption Costing Income Statement Beginning inventory Manufacturing costs this year Net income (loss) Fixed costs added to(subtracted from) inventory 48 per unit 64 per unit
Expert Answer:
Answer rating: 100% (QA)
OAK MART COMPANY Variable costing 4 455000 4000000 6400000 3600... View the full answer
Related Book For
Financial and Managerial Accounting Information for Decisions
ISBN: 978-0078025761
6th edition
Authors: John Wild, Ken Shaw, Barbara Chiappetta
Posted Date:
Students also viewed these accounting questions
-
Oak Mart, a producer of solid oak tables, reports the following data from its second year of business. 1. Prepare the current year income statement for the company using variable costing. 2. Prepare...
-
A condensed income statement for Inman Company is as follows for the month of November: Further analysis revealed the following data on costs: Required: a. Prepare a report comparing the master...
-
The following projected income statement for More-Power Company is repeated for your convenience. Recall that the projection is based on sales of 75,000 regular sanders and 30,000 mini-sanders....
-
Harley-Davidson: Preparing for the Next Century There are very few products that are so exciting that people will tattoo your logo on their body. Richard Teerlink, Retired CEO, Harley-Davidson In...
-
What implications would a vertical short-run aggregate supply curve have for the effects of demand management policy?
-
Explain how the four stages of goal-setting assist goal attainment.
-
You are considering three alternative investments in bonds. The bonds have different times to maturity, but carry the same default risk. You would like to gain an impression of the extent of price...
-
Job 401k required $5,000 for direct materials, $2,000 for direct labor, 200 direct labor hours, 100 machine hours, two setups, and three design changes. The cost pools and overhead rates for each...
-
How current technology can assist Supply Chain Management? Discuss in your Report what innovative technologies can assist in uplifting activities in SCM? Include examples. Give References also.
-
i need an actual expert in Electrical engineering to help me solve this question as it has a part that requires "draw by hand" and another coding part, i need to have the actual correct full answer...
-
1. What Is a non-volatile solute? What Is a volatile solute? 2. Why is the vapor pressure of a solution containing a non-volatile solute lower than the pure solvent? If the solution consists of a...
-
Solve y' (t) + sin(t)y = tet+cos(t) Integrating factor u(t) = Multiplying both sides by u(t) to get:
-
Preparing the (I) consolidation entries for sale of depreciable assets-equity method. Assume on 1/1/2016, a parent sells to its wholly owned subsidiary, for a sale price of 162,000, equipment that...
-
1. What are some changes that have occurred as a result of the Civil Rights Act of 1991? 2. What does the term legal and moral entitlement mean to you as an employee or future employee? Give an...
-
Baird Freight Company owns a truck that cost $31,000. Currently, the truck's book value is $24,000, and its expected remaining useful life is five years. Baird has the opportunity to purchase for...
-
Use the Moist Air Properties Table (Table 2-5 in the textbook, link to pdf in Canvas) to determine the following properties of moist air at a dry bulb temperature of 125F and humidity ratio of 0.040...
-
Data Structures A Min Priority Queue Is A Queue Where The Enqueue Is Based On The Items Value Meaning It Does Not Add To The End Of The Queue. For Example, Starting With An Empty Queue Q: Enqueue(5)...
-
Choose two matrices A and B with dimension 2 x 2. Calculate det A, det B, and det (AB). Repeat this process until you are able to discover how these three determinants are related. Summarize your...
-
Li Company produces a product that sells for $84 per unit. A customer contacts Li and offers to purchase 2,000 units of its product at a price of $68 per unit. Variable production costs with this...
-
A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and cost driver activity for each of the company's three activity cost pools follow....
-
Ski-Doo Company manufactures, markets, and sells snowmobiles and snowmobile equipment and accessories. The average total asset for Ski-Doo is $3,000,000. In its most recent year, Ski-Doo reported net...
-
The Washington Company owns no plant assets and had the following income statement for the year: Additional information about the company includes: Use the preceding information to calculate the cash...
-
The Azuza Company owns no plant assets and had the following income statement for the year: Additional information about the company includes: Use the preceding information to calculate the cash flow...
-
Use the following information regarding the Hamilton Corporation to prepare a statement of cash flows using the indirect method: Accounts payable decrease. Accounts receivable increase. Wages payable...
Study smarter with the SolutionInn App