Townsend Co. Absorption Costing Income Statement For the Month Ended January 31 Sales Cost of goods...

Transcribed Image Text:

Townsend Co. Absorption Costing Income Statement For the Month Ended January 31 Sales Cost of goods sold: Cost of goods manufactured Cost of goods manufactured Gross profit Operating income Sales Variable cost of goods sold: Variable cost of goods manufactured Variable cost of goods sold 575,000 80,000 b. Prepare an income statement using variable costing. Townsend Co. Variable Costing Income Statement For the Month Ended January 31 Fixed manufacturing costs 756,000 655,000 550,200 Previous Next On January 1 of the current year, Townsend Co. commenced operations. It operated its plant at 100% of capacity during January. The following data summarized the results for January: Production Sales ($18 per unit) Inventory, January 31 Manufacturing costs: Variable Fixed Total Selling and administrative expenses: Variable Fixed Total Units 50,000 (42,000) 8,000 $575,000 80,000 $655,000 $35,000 10,500 $45,500 a. Prepare an income statement using absorption costing. Townsend Co. Absorption Costing Income Statement For the Month Ended January 31 Previous Next b. Prepare an income statement using variable costing. Townsend Co. Variable Costing Income Statement For the Month Ended January 31 Sales Variable cost of goods sold: Variable cost of goods manufactured Variable cost of goods sold Fixed manufacturing costs Fixed costs: Operating income 0000 88 Pent Previous She and Exit Next > Submit Test for Grac Townsend Co. Absorption Costing Income Statement For the Month Ended January 31 Sales Cost of goods sold: Cost of goods manufactured Cost of goods manufactured Gross profit Operating income Sales Variable cost of goods sold: Variable cost of goods manufactured Variable cost of goods sold 575,000 80,000 b. Prepare an income statement using variable costing. Townsend Co. Variable Costing Income Statement For the Month Ended January 31 Fixed manufacturing costs 756,000 655,000 550,200 Previous Next On January 1 of the current year, Townsend Co. commenced operations. It operated its plant at 100% of capacity during January. The following data summarized the results for January: Production Sales ($18 per unit) Inventory, January 31 Manufacturing costs: Variable Fixed Total Selling and administrative expenses: Variable Fixed Total Units 50,000 (42,000) 8,000 $575,000 80,000 $655,000 $35,000 10,500 $45,500 a. Prepare an income statement using absorption costing. Townsend Co. Absorption Costing Income Statement For the Month Ended January 31 Previous Next b. Prepare an income statement using variable costing. Townsend Co. Variable Costing Income Statement For the Month Ended January 31 Sales Variable cost of goods sold: Variable cost of goods manufactured Variable cost of goods sold Fixed manufacturing costs Fixed costs: Operating income 0000 88 Pent Previous She and Exit Next > Submit Test for Grac

Answer rating: 100% (QA)

Townsend Co Absorption Costing Income Statement For the Month Ended January 31 Sales 42... View the full answer