Fundamentals Of Cost Accounting (6th Edition)
6th Edition
ISBN: 9781259969478
Author: WILLIAM LANEN, Shannon Anderson, Michael Maher
Publisher: McGraw Hill Education
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Textbook Question
Chapter 2, Problem 54E
Gross Margin and Contribution Margin Income Statements
The following data are from the accounting records of Niles Castings for year 2:
Required
Prepare:
- a. A gross margin income statement.
- b. A contribution margin income statement.
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Using the data above, complete the following statements and schedules for the first quarter:
4. Prepare an absorption costing income statement for the quarter ending March 31.
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Answer choices for Income Statment
[rows 1, 9-15, 17]: (Accounts payable, Accounts receivable, Advertising, Buildings and equipment net, Cash, Common stock, Cost of goods sold, Depreciation, Interest expense, Note payable, Other expenses, Prepaid insurance, Rent, Retained earnings, Salaries and wages, Sales, Shipping)
[Rows 3-6]: (Beginning inventory, Ending inventory, Goods available for sale, Purchases)
Row 7: (Gross Loss, Gross margin)
Row 16: (Net operating income, Net operating loss)
Row 18: (Net income, Net loss)
Answer Choices for Balance sheet (all rows)
(Accounts payable, Accounts receivable, Buildings and equipment net, Cash, Common stock, Cost of goods sold, Interest expense, Inventory, Note payable, Prepaid insurance, Retained earnings)
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Chapter 2 Solutions
Fundamentals Of Cost Accounting (6th Edition)
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