Absorpton vs Variable costing

Absorpton vs Variable costing - 8,000 30 240,000 Inventory...

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Page 326 Problem (facts) Sales Price 30 V MFG 11 Sales Commission 2.5 Fixed MFg $50,000 Fixed Operating $25,000 Number produced 10,000 Number sold 8,000 Unit Cost - Absorption vs Variable Fixed Cost per unit 50,000 10,000 5 Variable Mfg Costs 11 Absorptions Unit Cost 16 ABOSRPTIONS Sales 8,000 30 240,000 Inventory BB 0 Mfg 10,000 16 160,000 EB 2,000 16 32,000 COGS 8,000 16 128,000 128,000 Gross Profit 112,000 Selling 8,000 2.5 20,000 Fixed Operating 25,000 45,000 Income from Operations 67,000 VARIABLE COSTING Sales
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Unformatted text preview: 8,000 30 240,000 Inventory BB Mfg 10,000 11 110,000 EB 2,000 11 22,000 COGS 8,000 11 88,000 88,000 Variable Selling 8,000 2.5 20,000 Total Variable 108,000 Contribution Margin 132,000 Fixed Manufacturing 50,000 Fixed Operating 25,000 75,000 Income From Operations 57,000 Absorptions 67,000 Variable 57,000 Absorption is greater 10,000 Number MFg 10,000 Number Sold 8,000 Greater MFg than sold 2,000 Fixed MFG cost per unit 5 # units * Fixed MFG per unit 10,000...
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