6 Data Section: 7 8 Actual production in units 9 Sales in units 10 Sales price per unit 11 Variable manufacturing costs per unit 12 Variable selling costs per unit 13 Fixed manufacturing costs 14 Fixed selling expenses 100,000 80,000 $30 $14 $2 $630,000 $100,000 A 15 - 16 Answer Section: 17 Income statement: Absorption costing 18 19 Sales FORMULA1 20 Cost of goods sold: 21 Variable manufacturing costs 22 Fixed manufacturing costs FORMULA2 FORMULA3 23 24 Total goods available for sale 25 Less ending inventory FORMULA4 26 27 Cost of goods sold 28 29 Gross profit 30 Fixed selling expenses 31 Variable selling expenses FORMULA5 FORMULA6 32 33 Operating income 34 === ==== === 35 Income statement: Variable costing 36 37 Sales $2,400,000 38 Cost of goods sold: 39 Variable manufacturing costs 40 Less ending inventory FORMULA7 FORMULA8 41 42 Variable cost of goods sold 43 44 Manufacturing margin 45 Variable selling expenses FORMULA9 46 47 Contribution margin 48 Fixed manufacturing costs 49 Fixed selling expenses FORMULA10 $100,000 50 51 Operating income 52
6 Data Section: 7 8 Actual production in units 9 Sales in units 10 Sales price per unit 11 Variable manufacturing costs per unit 12 Variable selling costs per unit 13 Fixed manufacturing costs 14 Fixed selling expenses 100,000 80,000 $30 $14 $2 $630,000 $100,000 A 15 - 16 Answer Section: 17 Income statement: Absorption costing 18 19 Sales FORMULA1 20 Cost of goods sold: 21 Variable manufacturing costs 22 Fixed manufacturing costs FORMULA2 FORMULA3 23 24 Total goods available for sale 25 Less ending inventory FORMULA4 26 27 Cost of goods sold 28 29 Gross profit 30 Fixed selling expenses 31 Variable selling expenses FORMULA5 FORMULA6 32 33 Operating income 34 === ==== === 35 Income statement: Variable costing 36 37 Sales $2,400,000 38 Cost of goods sold: 39 Variable manufacturing costs 40 Less ending inventory FORMULA7 FORMULA8 41 42 Variable cost of goods sold 43 44 Manufacturing margin 45 Variable selling expenses FORMULA9 46 47 Contribution margin 48 Fixed manufacturing costs 49 Fixed selling expenses FORMULA10 $100,000 50 51 Operating income 52
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter7: Variable Costing For Management
analysis
Section: Chapter Questions
Problem 3BE: Variable costingsales exceed production The beginning inventory is 52,800 units. All of the units...
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100%
- Sales
- Variable
manufacturing cost - Fixed manufacturing cost
- Less ending inventory
- Fixed selling expenses
- Variable Selling Expenses
- Variable manufacturing cost
- Less ending inventory
- Variable selling expenses
- Fixed manufacturing cost
From the information given in the sheet determine 1-10.
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