ACCESS IN BB-ACC202
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ISBN: 9780135375587
Author: Pearson
Publisher: PEARSON
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Chapter 6, Problem 6.70BP
1.
To determine
The gross profit of the company WS
2.
To determine
The contribution margin of the company WS
3.
To determine
To find: The total expenses shown below the gross profit line
4.
To determine
To find: Total expenses shown below the contribution margin line
5.
To determine
To find: the Dollar value of ending inventory under absorption costing
6.
To determine
To find: the Dollar value of ending inventory under variable costing
7.
To determine
The income statement having higher income and the difference in income
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Students have asked these similar questions
The actual and planned data for Underwater University for the Fall term were as follows:
Actual
Planned
Enrollment
4,500
4,125
Tuition per credit hour
$120
$135
Credit hours
60,450
43,200
Registration, records, and marketing costs per enrolled student
$275
$275
Instructional costs per credit hour
$64
$60
Depreciation on classrooms and equipment
$825,600
$825,600
Registration, records, and marketing costs vary by the number of enrolled students, while instructional costs vary by the number of credit hours. Depreciation is a fixed cost.
Prepare a variable costing income statement showing the contribution margin and operating income for the Fall term.
Underwater University
Variable Costing Income Statement
For the Fall Term
Revenue
$
Variable costs:
Registration, records, and marketing costs
$
Instructional costs
Total variable costs
$
Contribution margin
$
Depreciation on classrooms and equipment
Operating income…
Learning Task 2
Problem: The Prospere Bookstore
The Prospere Bookstore sells the books used in classed such as workbooks and coloring books. All the enrolled learners (150 learners) purchased the 3 prescribed books at P500 each. The books costs P200 each. Also, sales of various school supplies amounted to P500,000. Costs of these school supplies amounted to P250,000.
The monthly salary of the bookstore manager is P20,000. The store is manned by one clerk with monthly salary of P6,000. Utilities expense for the year totals P80,000. Of this, 25% is for the small office at the back of the bookstore. Depreciation for store fixtures amounted to P50,000.
Requirement: Prepare the multi-step income for the year ended December 31 for Prospere Bookstore.
Average labor cost for the first 700 units of a product is RO 50 and the average labor cost of first 1400 units is RO 45. Average time per unit is 100 minutes. The learning ratio and the average labour cost for first 2800 units will be:
a.
80% and RO 36.000
b.
90% and RO 40.500
c.
85% and RO 38.250
d.
95% and RO 42.750
Chapter 6 Solutions
ACCESS IN BB-ACC202
Ch. 6 - (Learning Objective 1) A graph of a variable cost...Ch. 6 - (Learning Objective 2) Which of the following is...Ch. 6 - (Learning Objective 2) In the cost equation...Ch. 6 - Prob. 4QCCh. 6 - Prob. 5QCCh. 6 - (Learning Objective 3) Which of the following is...Ch. 6 - Prob. 7QCCh. 6 - (Learning Objective 5) Which of the following is...Ch. 6 - Prob. 9QCCh. 6 - Prob. 10QC
Ch. 6 - Identify cost behavior (Learning Objectives 1 2)...Ch. 6 - Prob. 6.2SECh. 6 - Compute fixed costs per unit (Learning Objective...Ch. 6 - Prob. 6.4SECh. 6 - Predict and graph total mixed costs (Learning...Ch. 6 - Prob. 6.6SECh. 6 - Prepare and analyze a scatterplot (Learning...Ch. 6 - Prob. 6.8SECh. 6 - Use the high-low method (Learning Objective 4)...Ch. 6 - Prob. 6.10SECh. 6 - Prob. 6.11SECh. 6 - Prob. 6.12SECh. 6 - Write a cost equation given regression output...Ch. 6 - Prepare a contribution margin income statement...Ch. 6 - Prepare income statements using variable costing...Ch. 6 - Prepare income statements using variable costing...Ch. 6 - Identify cost behavior graph (Learning Objectives...Ch. 6 - Prob. 6.18SECh. 6 - Prob. 6.19SECh. 6 - Prob. 6.20AECh. 6 - Prepare income statement in two formats (Learning...Ch. 6 - Prob. 6.22AECh. 6 - Prob. 6.23AECh. 6 - Sustainability and cost estimation (Learning...Ch. 6 - Create a scatterplot (Learning Objective 3) Melody...Ch. 6 - Continuation of E6-25A: High-low method (Learning...Ch. 6 - Continuation of E6-25A: Regression analysis...Ch. 6 - Regression analysis using Excel output (Learning...Ch. 6 - Prob. 6.29AECh. 6 - Using the high-low method to predict overhead for...Ch. 6 - Using regression analysis output to predict...Ch. 6 - Performing a regression analysis to predict...Ch. 6 - Prob. 6.33AECh. 6 - Prob. 6.34AECh. 6 - Compare absorption and variable costing (Learning...Ch. 6 - Prepare a contribution margin income statement...Ch. 6 - Prepare a contribution margin income statement...Ch. 6 - Prepare income statements using variable costing...Ch. 6 - Prepare a variable costing income statement given...Ch. 6 - Prob. 6.40AECh. 6 - Prob. 6.41BECh. 6 - Prepare income statement in two formats (Learning...Ch. 6 - Use unit cost data to forecast total costs...Ch. 6 - Prob. 6.44BECh. 6 - Sustainability and cost estimation (Learning...Ch. 6 - Create a scatter plot (Learning Objective 3) Tammy...Ch. 6 - Continuation of E6-46B: High-low method (Learning...Ch. 6 - Prob. 6.48BECh. 6 - Prob. 6.49BECh. 6 - Prob. 6.50BECh. 6 - Using the high-low method to predict overhead for...Ch. 6 - Using regression analysis output to predict...Ch. 6 - Prob. 6.53BECh. 6 - Prob. 6.54BECh. 6 - Prob. 6.55BECh. 6 - Prob. 6.56BECh. 6 - Prob. 6.57BECh. 6 - Prob. 6.58BECh. 6 - Prob. 6.59BECh. 6 - Prepare a variable costing income statement given...Ch. 6 - Prob. 6.61BECh. 6 - Analyze cost behavior at a hospital using various...Ch. 6 - Analyze cost behavior (Learning Objectives 1, 2,...Ch. 6 - Prob. 6.64APCh. 6 - Prob. 6.65APCh. 6 - Prob. 6.66APCh. 6 - Analyze cost behavior at a hospital using various...Ch. 6 - Analyze cost behavior (Learning Objectives 1, 2,...Ch. 6 - Prepare traditional and contribution margin income...Ch. 6 - Prob. 6.70BPCh. 6 - Prob. 6.71BPCh. 6 - Prob. 6.72SCCh. 6 - Cost Behavior in Real Companies Choose a company...Ch. 6 - Ethics of building inventory (Learning Objective...Ch. 6 - Prob. 6.76ACT
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