Ida Company produces a handcrafted musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for$880. Selected data for the company's operations last year follow:Units in beginning inventoryUnits producedUnits sold280240Units in ending inventoryVariable costs per unit:40Direct materials1152$2$2$Direct labor335Variable manufacturing overheadVariable selling and administrativeFixed costs:3525Fixed manufacturing overheadFixed selling and administrative$ 63,000$ 23,000The absorption costing income statement prepared by the company's accountant for last year appears below:$ 211,200170,40040,80029,000SalesCost of goods soldGross marginSelling and administrative expenseNet operating income$11,800Required:1. Under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of lastyear?2. Prepare an income statement for last year using variable costing. Complete this question by entering your answers in the tabs below.Required 1Required 2Prepare an income statement for last year using variable costing.Ida CompanyVariable Costing Income Statement$< Required 1Required 2 >

Name: Ida Company produces a handcrafted musical instrument called a gamela
Uploaded: 2024-03-20T06:32:37.000Z
Channel: Bartleby
Description: Ida Company produces a handcrafted musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for$880. Selected data for the company's operations last year follow:Units in beginning inventoryUnits producedUnits sold280