Variable Costing

Using Excel for Variable Costing

Fremont Cookies incurs the following costs for its cookies in $2024.$

$\backslash$table$[[$DATA$],[$Fremont Cookies incurs the following costs for its cookies in $2024$:$],[$Direct materials cost per cookie,$ $0\mathrm{.}64$ per cookie$],[$Direct labor cost per cookie,$0\mathrm{.}54$ per cookie $4\mathrm{.}44$ per cookie$],[$Variable manufacturing overhead cost per cookie,$5,000$ per year$],[$Fixed manufacturing overhead costs,$1\mathrm{.}00$ per cookie$],[$Total variable selling and administrative cos$,3,000$ per year$],[$Total fixed selling and administrative costs,$7\mathrm{.}00$ per cookie$],[$Sales price per cookie,$25,375$ cookies$],[$cookies produced,$23,875$ cookies$]]$

There were no beginning inventories.

Use the blue shaded areas on the ENTER$-$ANSWERS tab for inputs.

ALWAYS use cell references and formulas where appropriate to receive full credit. If you copy$/$paste from the Instru tab you will be marked wrong. Enter all amounts as positive values. Do not use a minus sign or parentheses for any

Requirements:

$1$ Calculate Fremont Cookies's product cost per cookie under absorption costing and variable costing.

$2$ Calculate the balance in Finished Goods Inventory on December $31,2024,$ using absorption costing and variable cost

$3$ Prepare income statements in good form for Fremont Cookies for $2024$ using absorption costing and variable costing.

$4$ Reconcile the differences between operating incomes and Finished Goods Inventory balances between the two costin$!$

Excel Skills:

$1$ Use data validation to select descriptions.

$2$ Create formulas with cell references.

$3$ Format the cells appropriately for dollars, numbers, or units.

Fremont Cookies incurs the following costs for its cookies in $2024.$

$\backslash$table$[[$DATA$],[$Fremont Cookies incurs the following costs for its cookies in $2024$:$],[$Direct materials cost per cookie,$ $0\mathrm{.}64$ per cookie$],[$Direct labor cost per cookie,$0\mathrm{.}54$ per cookie$],[$Variable manufacturing overhead cost per cookie,$4\mathrm{.}44$ per cookie$],[$Fixed manufacturing overhead costs,$5,000$ per year$],[$Total variable selling and administrative costs,$1\mathrm{.}00$ per cookie$],[$Total fixed selling and administrative costs,$3,000$ per year$],[$Sales price per cookie,$7\mathrm{.}00$ per cookie$],[$cookies produced,$25,375$ cookies$],[$cookies sold,$23,875$ cookies$]]$

There were no beginning inventories.

Use the blue shaded areas on the ENTER$-$ANSWERS tab for inputs.

ALWAYS use cell references and formulas where appropriate to receive full credit. If you copylpaste from the Instru tab you will be marked wrong. Enter all amounts as positive values. Do not use a minus sign or parentheses for any

Requirements:

$1$ Calculate Fremont Cookies's product cost per cookie under absorption costing and variable costing.

$2$ Calculate the balance in Finished Goods Inventory on December $31,2024,$ using absorption costing and variable cost

$3$ Prepare income statements in good form for Fremont Cookies for $2024$ using absorption costing and variable costing.

$4$ Reconcile the differences between operating incomes and Finished Goods Inventory balances between the two costin$!$

Excel Skills:

$1$ Use data validation to select descriptions.

$2$ Create formulas with cell references.

$3$ Format the cells appropriately for dollars, numbers, or units.