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Kindly answer this question with explanation. Thank you Variable and.docx

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Kindly answer this question with explanation. Thank youVariable and Absorption Costing Summarized data for 2016(the first year of operations) for Gorman Products, Inc., areas follows: Sales 75.000 units) $7,500,000 Production costs(80,000 units) Direct material 2,200,000 1,800,000 Directlabar Manufacturing overhead: Variable 1,360,000 800,000Fixed Operating expenses: Variable Fixed Depreciation onequipment Real estate taxes Personal property taxesinventory Personnel department expenses 420,000 600,000150,000 45,000 72,000 75.000 equipment) a. Prepare anincome statement based on full absorption costing. Only usea negative sign with your answer for net income (loss), if theanswer represents a net loss. Otherwise, do not use negativesigns with any answers. Round answers to the nearest whole3,500,000 X OX OX Net Income (LOSS) $ 628,125 x b.
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Summer
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Tags
Income Statement, Sales, Gorman Products Inc, inventory Personnel department, labar Manufacturing

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