Using Direct Costing Method, sha Company had a net profit of ₱76,300. Ending inventory decreased from 80,000 units to 78,500. The fixed MOH had a total cost of 650,000 and produced 50,000 units. The operating income under absorption costing is:

Q: 1. Compute the product margins for the B300 and T500 under the company’s traditional costing system.…

A: Requirement 1 is as follows: Result:

Q: ronman Company had a net income of P85,000 using variable costing and net income of P90,000 using…

A: Variable costing method is methods of cost accounting technique in which fived overhead costs are…

Q: During the current period, 14,000 units were produced and 12,000 units were sold. Fixed…

A: Under absorption costing, the fixed costs are also treated only for the goods that are sold during…

Q: -Tek Manufacturing, Inc., makes two types of industrial component parts—the B300 and the T500. An…

A: Solution 1:       Total Manufacturing Overhead 608000     /Total Direct labor 304000…

Q: Nato Company was organized a year ago. The results of the company's first year of operations using…

A: Operating income under variable costing is based on Total variable costs for the units sold and…

Q: Gale Company's income under absorption costing was Php120,000 lower than its income under variable…

A: Variable  production  cost =     $210 + $24  = 186 per unit VARIABLE  PRODUCTION COST PER UNIT +…

Q: ABC Company had Php200,000 income using absorption costing. ABC has no variable manufacturing costs.…

A: Variable Costing: Variable costing is the method of costing in which only the variable production…

Q: Ironman Company had a net income of P85,000 using variable costing and net income of P90,000 using…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: i-Tek Manufacturing, Inc., makes two types of industrial component parts—the B300 and the T500. An…

A: Solution 1:Predetermined overhead rate = Estimated overhead / Estimated direct labor cost = $504,964…

Q: A company reports the following information for the current year: Units Produced (25,000)< Units…

A: Under absorption  costing  FOH is absorbed on units produced  during  year

Q: The following information is available for SAN JOSE CORP.'s new product line: Sale price per unit…

A: The direct costing is similar to variable costing where only direct variable costs are added to…

Q: Based on variable costing, if NUBD Co had sold 12.002 units instead of 12,000, its income before…

A: Total Variable cost = P50,000 Total Variable period cost = P30,000 Total Variable manufacturing cost…

Q: Razor Ltd had net income of 918,000 based on variable costing. Beginning and ending inventories were…

A: Variable costs: These costs are incurred in conjunction to the volume of goods produced or sold. It…

Q: Hi-Tek Manufacturing, Inc., makes two types of industrial component parts—the B300 and the T500. An…

A: Traditional Costing is method of cost allocation of overheads in which costs are allocated using the…

Q: The following information were obtained from the records of HILO Company: Production in units 8, 000…

A: Variable costing means that inventory is valued at variable manufacturing cost and fixed cost is…

Q: Hi-Tek Manufacturing Inc. makes two types of industrial component parts-the B300 and the T500. An…

A: Sale B300=Units sold×Price per unit=60400×$19=$1147600

Q: Using Direct Costing Method, Laban Company had a net profit of ₱65,000 and ₱50,000 using Full…

A: Single Step Income Statement is a method of expressing a profit and loss statement that lists all…

Q: Hall Cosmetics Corporation company has the following costs associated with its production and sales.…

A:

Q: Under Absorption Costing, Net sales of Pacquiao Incorporated totaled P500,000 and the gross profit…

A: Gross profit under absorption costing = P500,000 x 35% = P175,000   Fixed manufacturing overhead…

Q: NUBD Co. had income of P65,000 using absorption costing for the period. Beginning and ending…

A: Income using variable costing = absorption costing income - (ending inventories - Beginning…

Q: During the most recent year, ABC Company reported the following data. During the year 10,000 units…

A: Under absorption costing fixed overhead costs are allocated to each unit of product produced during…

Q: The following data relate to Lobo Corporation for the year just ended: Sales revenue $750,000 Cost…

A: Contribution refers to earnings left after deducting all direct costs from the sales revenue. It is…

Q: Last year, Fabre Company produced 20,000 units and sold 18,000 units at a price of $12. Costs for…

A: Following are the calculation of ending inventory under variable coting:

Q: During the year, FITA Corporation produced 500 units of new products. The new product’s variable and…

A: Absorption costing and variable costing are two methods of costing. Under absorption costing, total…

Q: DEF Company produces a single product. For the most recent year, the company's net operating income…

A: There are two types of costing methods.

Q: KALIBO CORP. prepared the following absorption-costing income statement for the year ended May 31,…

A: The income statement is prepared to record the revenues and expenses of the current period and…

Q: Brother Company sells its products for $66 each. The current production level is 25,000 units. Only…

A: Under absorption costing the fixed manufacturing overheads are treated as a part of unit product…

Q: Zeta Inc. had net income of $918,000 based on variable costing. Beginning and ending inventories…

A: Net income as per absorption costing: =Net income under variable costing-(Beginning Inventory-…

Q: Hi-Tek Manufacturing Inc. makes two types of industrial component parts—the B300 and the T500. An…

A: Activity-based costing (ABC) Under the ABC method, the overhead cost is assigned on the basis of…

Q: XYZ Company uses normal costing. Following are various cost and inventory data for the just…

A: Manufacturing OH cost is a fixed cost that is incurred as a result of normal operations of the…

Q: Based on variable costing, what would NUBD Corp. show as the value of its ending inventory? Format:…

A: Unit cost under variable costing = Direct material used + direct labor + Variable manufacturing…

Q: Jackson Manufacturing, Inc., makes two types of industrial component parts—the XT-100 and the…

A: Traditional costing adds an average overhead rate to the direct cost of producing products and…

Q: The following information pertains to Alleigh's Mannequins: Manufacturing costs $1,500,000 Units…

A: Gross Margin is the difference of sales revenue and cost of goods sold.

Q: Portmann Company, operating at full capacity, sold 1,000,000 units at a price of $189 per unit…

A: A break-even point seems to be the moment where a given firm's total cost and total income are…

Q: The following data relate to National Company for the year just ended: P750,000 Sales revenue Cost…

A: There are two type of costing systems which are being used. These are Absorption costing system and…

Q: Panta Corp had net income of P226,000 based on variable costing. Beginning and ending inventories…

A: Absorption costing is one of the method of costing where both direct and indirect cost are included…

Q: A company has a net income of $918,000 based on variable costing method. Beginning and ending…

A: Absorption costing is a kind of costing method. Net income under absorption costing can be found out…

Q: Kluber, Inc. had net income of $918,000 based on variable costing. Beginning and ending inventories…

A: Absorption costing is a method of costing where it accounts for all cost in manufacturing. Net…

Q: Darby Company, operating at full capacity, sold 114,800 units at a price of $108 per unit during the…

A: Hi student Since there are multiple subparts, we will answer only first three subparts. If you want…

Q: Nato Company was organized a year ago. The results of the company's first year of operations using…

A: Under absorption costing both variable and fixed cost considered. While under  variable costing…

Q: Garrett Company provided the following information: Common fixed cost totaled $46,000. Garrett…

A: There are mainly two type of costs being incurred in business. One is variable costs and other one…

Q: Ming Company had income of $771,200 based on variable costing. Beginning and ending finished goods…

A: For calculating income under absorption costing from income under variable costing we have to…

Q: During the year, ABS Corporation produced 500 units of new products. The new product’s variable and…

A: Absorption costing and variable costing are two methods of costing. Under absorption costing, total…

Q: Evansville Company had the following transactions for the month. Number Cost per Unit of Units…

A: FIFO stands for “First-In, First-Out”. It is a method used for cost flow assumption purposes in the…

Q: Using Direct Costing Method, Laban Company had a net profit of ₱65,000 and ₱50,000 using Full…

A: SOLUTION-   EXPLANATION- CALCULATION OF FIXED MOH- FIXED MOH= NET PROFIT USING DIRECT COSTING METHOD…

Q: Questions 5 to 8 are based on the Statement of Income of Davao, Inc. which represents the operating…

A: The following calculations are done in the records of Davao Incorporation.

Q: Hi-Tek Manufacturing, Inc., makes two types of industrial component parts—the B300 and the T500. An…

A: An income statement is a financial report that indicates the revenue and expenses of a business. It…

Q: Hi-Tek Manufacturing, Inc., makes two types of industrial component parts—the B300 and the T500. An…

A: formulas for the above table:

Q: ​Morwenna, Inc. reports the following information for​ August:   Sales Revenue $700,000…

A: The operating income is determined by subtracting all regularly occurring expenses required for…

Q: BNM INC. presented the following data for 2021: Sales ₱256,000 Variable manufacturing costs 96,000…

A: Sales ₱256,000 Variable manufacturing costs 96,000

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.