The following info were taken from ABC company in its 2021 operation:

- Actual production 11,000 units, while the planned production was P10,000 units

-Variable mfg cost based on planned units P50.00@unit; and a total fixed cost of P320,000.

- variable non mfg total cost on planned units P400,000 ; fixed per unit of P24.00

-Actual variable manufacturing cost P530,000 ; Fixed cost of P360,000

-Actual non mfg variable per unit P420,000; Fixed cost of P240,000 during the year the company sold 10,500 units for P150 per unit. All variances from std mfg cost are closed to cost of goods sold at the end of the year.

How much were the standard manufacturing cost variances?

How much is the operating income under Absorption and variable costing method?

Answer rating: 100% (QA)

Budget 10000 units Actuals 11000 Units Variable mfg cost 50 per unit Variable mfg cost 530000 Total ... View the full answer