The following data were taken from the records of NUBD Co. In Units Inventory, Jan. 1 Production Available for sale Units sold 2020 2021 20.000 20,000 13,000 7,000 7,000 18.000 25,000 23.000 2.000 Inventory, Dec. 31 Sales (P20 perunit) Variable manufacuring cost (P7.50 per unit) Fixed manufacturing cost Selling and administrative P 260,000 150,000 50,000 45,000 P 460,000 135,000 54,000 75,000
The following data were taken from the records of NUBD Co. In Units Inventory, Jan. 1 Production Available for sale Units sold 2020 2021 20.000 20,000 13,000 7,000 7,000 18.000 25,000 23.000 2.000 Inventory, Dec. 31 Sales (P20 perunit) Variable manufacuring cost (P7.50 per unit) Fixed manufacturing cost Selling and administrative P 260,000 150,000 50,000 45,000 P 460,000 135,000 54,000 75,000
Chapter5: Process Costing
Section: Chapter Questions
Problem 12EA: What are the total costs to account for if a companys beginning inventory had $231,432 in materials,...
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Selling and Administrative expenses are 60% fixed and 40% variable
A. What is the net income for 2020 under the variable costing method?
B. What is the net income for 2020 under the absorption costing method?
C. What is the net income for 2021 under the absorption costing method?
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