nces Ida Company produces a handcrafted musical instrument called a gamelan that is similar to a...
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nces Ida Company produces a handcrafted musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $850. Selected data for the company's operations last year follow: Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor 0 250 225 25 Sales Cost of goods sold Gross margin Selling and administrative expense Net operating income $ 100 $ 320 $40 $ 20 Variable manufacturing overhead Variable selling and administrative. Fixed costs: Fixed manufacturing overhead Fixed selling and administrative The absorption costing income statement prepared by the company's accountant for last year appears below: $ 60,000 $ 20,000 $ 191,250 157,500 33,750 24,500 $ 9,250 Required: 1. Under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year? 2. Prepare an income statement for last year using variable costing. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year? Fixed manufacturing overhead cost included in inventory Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for last year using variable costing. Ida Company Variable Costing Income Statement nces Ida Company produces a handcrafted musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $850. Selected data for the company's operations last year follow: Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor 0 250 225 25 Sales Cost of goods sold Gross margin Selling and administrative expense Net operating income $ 100 $ 320 $40 $ 20 Variable manufacturing overhead Variable selling and administrative. Fixed costs: Fixed manufacturing overhead Fixed selling and administrative The absorption costing income statement prepared by the company's accountant for last year appears below: $ 60,000 $ 20,000 $ 191,250 157,500 33,750 24,500 $ 9,250 Required: 1. Under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year? 2. Prepare an income statement for last year using variable costing. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year? Fixed manufacturing overhead cost included in inventory Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for last year using variable costing. Ida Company Variable Costing Income Statement
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Answer Req 1 Total Fixed Manufacturing Overheads 60000 Divide Units pro... View the full answer
Related Book For
Fundamentals of Taxation 2015
ISBN: 9781259293092
8th edition
Authors: Ana Cruz, Michael Deschamps, Frederick Niswander, Debra Prendergast, Dan Schisler, Jinhee Trone
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