osting - Homework Saved Help Save & Exit Required information [The following information applies to the questions displayed below.] Jorgansen Lighting, Incorporated, manufactures heavy-duty street lighting systems for municipalities. The company uses variable costing for internal management reports and absorption costing for external reports to shareholders. creditors, and the government. The company has provided the following data: Inventories Beginning (units) Ending (units) Variable costing net operating income Year 1 Year 2 Year 3 210 170 170 180 180 220 $ 290,000 $ 279,000 $ 250,000 The company's fixed manufacturing overhead per unit was constant at $560 for all three years. Check my w - osting Homework Saved Beginning (units) Ending (units) Variable costing net operating income 210 170 170 180 180 220 $ 290,000 $ 279,000 $ 250,000 The company's fixed manufacturing overhead per unit was constant at $560 for all three years. Help Save & Required: 1. Calculate each year's absorption costing net operating income. (Enter any losses or deductions as a negative value.) Reconciliation of Variable Costing and Absorption Costing Net Operating Incomes Variable costing net operating income Year 1 Add (deduct) fixed manufacturing overhead deferred in (released from) inventory under absorption costing Year 2 Year 3 Absorption costing net operating income 9 < Prev 2 3 of 5 Next > Ch ng - Homework Inventories Beginning (units) Ending (units) Variable costing net operating income Saved Year 11 Year 21 Year 3 210 170 170 180 180 220 $ 290,000 $ 279,000 $ 250,000 Help Save & Exit Sul Check my wo The company's fixed manufacturing overhead per unit was constant at $560 for all three years. 2. Assume in Year 4 that the company's variable costing net operating income was $260,000 and its absorption costing net operating Income was $280,000 a. Did inventories increase or decrease during Year 4? Increase O Decrease b. How much fixed manufacturing overhead cost was deferred or released from inventory during Year 4? Fixed manufacturing overhead cost inventory during Year 4 < Prev 3 Bm of 5 www Next >