On April 30, the end of the first month of operations, Joplin Company prepared the following income statement, based on the absorption costing concept: Joplin Company Absorption Costing Income Statement For the Month Ended April 30 Sales (2,500 units) $80,000 Cost of goods sold: Cost of goods manufactured (2,900 units) $66,700 Inventory, April 30 (400 units) (9,200) Total cost of goods sold (57,500) Gross profit $22,500 Selling and administrative expenses (13,520) Operating income $8,980 If the fixed manufacturing costs were $16,008 and the fixed selling and administrative expenses were $6,620, prepare an income statement according to the variable costing concep
On April 30, the end of the first month of operations, Joplin Company prepared the following income statement, based on the absorption costing concept: Joplin Company Absorption Costing Income Statement For the Month Ended April 30 Sales (2,500 units) $80,000 Cost of goods sold: Cost of goods manufactured (2,900 units) $66,700 Inventory, April 30 (400 units) (9,200) Total cost of goods sold (57,500) Gross profit $22,500 Selling and administrative expenses (13,520) Operating income $8,980 If the fixed manufacturing costs were $16,008 and the fixed selling and administrative expenses were $6,620, prepare an income statement according to the variable costing concep
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter3: Cost Behavior And Cost Forecasting
Section: Chapter Questions
Problem 24BEA: Variable-Costing Income Statement Refer to the data for Osterman Company on the previous page....
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On April 30, the end of the first month of operations, Joplin Company prepared the following income statement, based on the absorption costing concept:
Joplin Company Absorption Costing Income Statement For the Month Ended April 30 |
|||
Sales (2,500 units) | $80,000 | ||
Cost of goods sold: | |||
Cost of goods manufactured (2,900 units) | $66,700 | ||
Inventory, April 30 (400 units) | (9,200) | ||
Total cost of goods sold | (57,500) | ||
Gross profit | $22,500 | ||
Selling and administrative expenses | (13,520) | ||
Operating income | $8,980 |
If the fixed
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