Homework Answers
| Basic Data : | |||||
| $ | |||||
| Selling price per unit | 309 | ||||
| Manufacturing cost: | |||||
| Variable per unit produced : | |||||
| Direct Material | 153 | ||||
| Direct Labour | 55 | ||||
| Variable manufacturing overheads | 37 | ||||
| Fixed Manufacturing overheads per year | 1,10,000 | ||||
| Selling and administrative expenses: | |||||
| Variable per unit sold | 9 | ||||
| Fixed per year | 47,000 | ||||
| (If produced 4400 unit) | |||||
| Compute the Ending Inventory | Year 1 | Year 2 | Year 2 | ||
| Units in beginning inventory (Equal to ending inventory of year 1) | - | 200 | 200 | ||
| Units produced during the year | 2,500 | 2,200 | 4,400 | ||
| Units sold during the year | 2,300 | 2,300 | 2,300 | ||
| Units in ending inventory (Beginning + Produced - Sold) | 200 | 100 | 2,300 | ||
| Compute the absorption Costing Unit Product Cost | Year 1 | Year 2 | |||
| Direct Materials | 153 | 153 | |||
| Direct Labour | 55 | 55 | |||
| Variable Manufacturig overheads | 37 | 37 | |||
| Fixed Manufacturing overheads ( 1,10,000/2,500 ) and (1,10,000/2,200) | 44 | 50 | |||
| Absorption Costing unit product cost | 289 | 295 | |||
| Absorption Costing unit product cost (If produced 5600) (123+80+36+ 92000/5600) | 261 | * | |||
| Income Statement under absorption Costing | Year 2 | ||||
| Sales (Unit sold x selling price per unit) (2300 * 309) | 7,10,700 | working | |||
| Cost of Goods Sold (Unit sold x absorption cost per unit) | 6,19,989 | (295*2100)+(289+200)=619989 | |||
| Gross Margin | 90,711 | ||||
| Selling & administrative expenses (Unit sold x per unit Variable S&A + Fixed S&A) | 67,700 | (2300 * 9) + 47000 = 67,700 | |||
| Net Operating Income | 23,011 | ||||
| Compute the Variable Costing Unit Product Cost | Year 2 | ||||
| Direct Materials | 153 | 153 | |||
| Direct Labour | 55 | 55 | |||
| Variable Manufacturig overheads | 37 | 37 | |||
| Variable Costing per unit product cost | 245 | 245 | |||
| Compute the Variable Costing Income Statement | |||||
| Year 1 | Year 2 | ||||
| Sales ((2300 * 309)) | 7,10,700 | 7,10,700 | |||
| Variable Expenses: | |||||
| Variable Cost of Goods Sold (2300 * 245) | 5,63,500 | 5,63,500 | |||
| Variable Selling & Administrative Expenses (2300 * 9) | 20,700 | 5,84,200 | 20,700 | 5,84,200 | |
| Contribution Margin | 1,26,500 | 1,26,500 | |||
| Fixed Expenses: | |||||
| Fixed Manufacturing Overheads | 1,10,000 | 1,10,000 | |||
| Fixed Selling & Administrative expenses | 47,000 | 47,000 | |||
| Net Operating Income | -30,500 | -30,500 | |||
| (e ) All option are correct | |||||
| Income Statement under absorption Costing (When unit produced 4,400 units) | Year 2 | ||||
| Sales (Unit sold x selling price per unit) (2300 * 309) | 7,10,700 | working | |||
| Cost of Goods Sold (Unit sold x absorption cost per unit) | 6,19,989 | (295*2100)+(289+200)=619989 | |||
| Gross Margin |
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Please help! This is all one question.
Required information B с A Chapter 6: Applying Excel 1 2 $ 309 $ 153 $ 55 3 Data 4 Selling price per unit 5 Manufacturing costs: 6 Variable per unit produced: 7 Direct materials 8 Direct labor 9 Variable manufacturing overhead 10 Fixed manufacturing overhead per year 11 Selling and administrative expenses: 12 Variable per unit sold 13 Fixed per year 14 $ 37 $ 110,000 $ 9 $ 47,000 15 Year...
A) What is the net operating income (loss) in Year 2
under absorption costing?
B) At the end of Year 1, the company’s board of
directors set a target for Year 2 of net operating income of
$20,000 under absorption costing. If this target is met, a hefty
bonus would be paid to the CEO of the company. Keeping everything
else the same from above, change the units produced in Year 2 to
4,400 units.
What is the net operating...
(e) The net operating income (loss) under absorption costing is
less than the net operating income (loss) under variable costing in
Year 2 because: (You may select more than one answer.
Single-click the box with the question mark to produce a checkmark
for a correct answer and double click the box with the question
mark to empty the box for a wrong answer. Any boxes left with a
question mark will be automatically graded as
incorrect.)
Units were left over...
2. Change all of the numbers in the data area of your worksheet so that it looks like this: A B с 1 Chapter 6: Applying Excel 2 3 4 $ 310 5 6 $ 133 7 Data Selling price per unit Manufacturing costs: Variable per unit produced: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead per year Selling and administrative expenses: Variable per unit sold Fixed per year $ 56 8 $ 26 9 $ 183,600 10...
The above answers so far are
correct, please help with the rest. thanks ahead!
2. Change all of the numbers in the data area of your worksheet so that it looks like this: B с A Chapter 6: Applying Excel 1 2 3 Data 4 $ 310 5 6 $ 133 7 8 Selling price per unit Manufacturing costs: Variable per unit produced: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead per year Selling and administrative expenses: Variable...
(e)
The net operating income (loss) under absorption costing is less
than the net operating income (loss) under variable costing in Year
2 because (Select all that apply.):
3.
Make a note of the absorption costing net operating income
(loss) in Year 2.
At the end of Year 1, the company’s board of directors set a
target for Year 2 of net operating income of $70,000 under
absorption costing. If this target is met, a hefty bonus would...
A Company manufactures one product that is sold for $79 per unit. The following information pertains to the company's first year of operations in which I produced 50,000 units and sold 45,000 units. Variable costs per unit: Manufacturing Direct materials $ 29 Direct labour 16 Variable manufacturing overhead 2 Variable selling and administrative 4 Fixed costs per year: Fixed manufacturing overhead 800,000 Fixed selling and administrative expenses $ 516,000 1. What is the company's total contribution margin under variable costing?...
find net operating income (loss) for year 1 under absorption
costing
find net operating income (loss) for year 2 under absorption
costing
find net operating income (loss) for year 1 under variable
costing
find net operating income (loss) for year 2 under variable
costing
area of your worksheet so that it А B с Chapter 6: Applying Excel Data $ 344 $ 146 Selling price per unit Manufacturing costs: Variable per unit produced: Direct materials Direct labor Variable manufacturing overhead...
Required information The following information applies to the questions displayed below.) Diego Company manufactures one product that is sold for $73 per unit. The following information pertains to the company's first year of operations in which it produced 44,000 units and sold 39,000 units. Variable costs per unit: Manufacturing: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses $748,000 $400,000 7. What is the amount of...