a. Compute the unit product cost under both absorption and variable costing. b. Prepare an income statement for the year using absorption costing.( c. Prepare a contribution format income statement for the year using variable costing.
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Q4 Moona Inc. produces Mobile phones. Information of the company's operations last year appear below:
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Fixed cost: |
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Fixed Manufacturing |
Rs 40,000 |
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Fixed Selling & Administrative |
Rs 60,000 |
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|
|
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Selling Price per unit |
Rs 100 |
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Variable cost per unit: |
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Direct Materials |
Rs 30 |
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Direct labor |
Rs 10 |
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Variable Manufacturing Overhead |
Rs 5 |
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Variable Selling & Administrative |
Rs 2 |
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|
|
|
Units In beginning Inventory |
0 |
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Units Produced |
2000 |
|
Units sold |
1900 |
Required:
a. Compute the unit product cost under both absorption and variable costing.
b. Prepare an income statement for the year using absorption costing.(
c. Prepare a contribution format income statement for the year using variable costing.
d.Prepare a report reconciling the difference in net operating income between absorption and variable costing for the year.
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- Q1Moona Inc. produces Mobile phones. Information of the company's operations last year appear below: Fixed cost: Fixed Manufacturing overhead Rs 40,000Fixed Selling & Administrative Rs 60,000Selling Price per unit Rs 100Variable cost per unit: Direct Materials Rs 30 Direct labor Rs 10Variable Manufacturing overhead Rs 5Variable Selling & Administrative Rs 2Units In beginning Inventory 0 Units Produced 2000Units Sold 1900 Required: a. Compute the unit product cost under both absorption and variable costing.b. Prepare an income statement for the year using absorption costing.c. Prepare a contribution format income statement for the year using variable costing. d. Prepare a report reconciling the difference in net operating income between absorption and variable costing for the year.Moona Inc .produces mobile phones.Informational of the company's operations last year appear below. Fixed cost: Fixed manufacturing over head Rs 40,000 Fixed selling and administative. Rs 60,000 Selling price per unit. Rs 100 Variable cost per unit: Direct Material. Rs 30 Direct Labor. Rs 10 Variable manufacturing overhead. Rs 5 Variable selling and Administrative Rs 2 Units in beginning Inventory. 0 Units produced. 2000 Units solds. 1900 Required: a= compute the unit product cost under both absorption and variable costing. b= prepare an income statement for the year using absorption cisting. c= prepare a contribution format income statement for the year using variable costing d= prepare a report recconciling the difference in net operative income between absorption and variable coasting for the year.elearn.squ.edu.om/mod/qu ING SYSTEM (ACADEMIC) Time left 1:31:39 Mazoon Company has information on its revenue and costs is as follows: Selling price per unit $80; Variable costs per unit includes: Direct material $16, Direct manufacturing labor $8, Manufacturing overhead $8, and Selling costs $10; Annual fixed costs $96,000. What is the contribution margin percentage? O a. 70% O b. 52.5% O c. None of the given answers O d. 47.5% O e. 60% on Which of the following does not represent a cost-volume-profit analysis equation? O a. Profit = contribution margin - fixed expenses O b. Sales + fixed expenses - profit = contribution margin + sales Fir O c. Sales = total expenses + profit at of Od. Sales - fixed expenses - variable expenses = 0 O e. Contribution margin - fixed expenses - profit = 0 CLEAR MY CHOICE --T:TA TV-E/lo ENG O O 4) Ca ^ 144 144
- /takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress-false McCallen Company expects to produce and sell 500 units in the next month. The data on costs are as follows: Per-unit costs: Selling price $8.00 Variable manufacturing costs 2.75 Variable selling costs 0.25 Total costs: Fixed manufacturing costs $1,000 Fixed selling costs 125 Required: A. What is the variable cost per unit? B. What is the contribution margin per unit? C. What is the variable cost ratio? Round your answer to one decimal place. % D. What is the contribution margin ratio? Round your answer to one decimal place.Moona Inc. produces Mobile phones. Information of the company's operations last year appear below: Fixed cost: Fixed Manufacturing overhead Rs 40,000 Fixed Selling & Administrative Rs 60,000 Selling Price per unit Rs100 Variable cost per unit: Direct Materials Rs 30 Direct labor Rs 10 Variable Manufacturing overhead Rs5 Variable Selling & Administrative Rs2 Units In beginning Inventory 0 Units Produced 2000 Units sold 1900 Required:a. Compute the unit product cost under both absorption and variable costing.b. Prepare an income statement for the year using absorption costing.c. Prepare a contribution format income statement for the year using variable costing. d.Prepare a report reconciling the difference in net operating income between absorption and variable costing for the year.The East Company manufactures several different products. Unit costs associated with Product ORD210 are as follows: Direct materials $54Direct manufacturing labor 8Variable manufacturing overhead 11Fixed manufacturing overhead 25 Sales commissions (2% of sales) 5Administrative salaries 12Total$115What are the period costs per unit associated with Product ORD203 ? Oa. $120 b. $50 c. $17© d $18
- Gates Manufacturing operations for 2021 are as follows: $Per unit: Sales price 100 Direct material cost 36 Direct wages 8 Variable production overhead 6Per month: Fixed production overhead 198 000 Fixed selling expenses 24 000 Fixed administration expenses 52 000Variable selling expenses is 10% of sales value.Normal capacity was 11 000 units per month. January February Units UnitsSales 20 000 24 000Production 24 000 20 000 Using the two methods:A. Compute the unit production cost B. Determine the value of the closing inventoryCompany A manufactures and sells one product. During the first year the company produced and sold 30000 units, during the second - the company produced 37500 units and sold 25000 units. The selling price is 29 €. Other information is provided in the table. Items Variable costs per unit: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses Amounts 10 € 6 € 2€ 1€ 180 000 € 40 000 € Prepare the income statement, using absorption costing, and compute the net operating income (loss) for the first year. (In case of lose write the amount with "minus" sign) Answer:Company A manufactures and sells one product. During the first year the company produced and sold 30000 units, during the second - the company produced 37500 units and sold 25000 units. The selling price is 29 €. Other information is provided in the table. Items Variable costs per unit: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expenses Amounts 10 € 6 € 2€ 1€ 180 000 € 40 000 € Prepare the income statement, using absorption costing, and compute the gross profit for the first year. Answer:
- Q15. A company manufacturing two products furnishes the following data Annual output: Product Output units Machine Hours Purchase Orders Machine set-ups A 5000 20000 160 20 B 60000 120000 384 44 Total 65000 140000 544 64 The annual overheads are as under. Rs Volume related activity costs 550,000 Set up related costs 820,000 Purchase related costs 618,000 Total 1,988,000 You are required to calculate the overheads cost per unit of each product A and B based on Activity based costing method.Moor TC Co is manufacturing and selling product M with the following information: Unit sales price = S$70 Direct costs per unit: %3D Material = $32 Labour = $12 Overheads = $6 Selling and admin= $4 Fixed production overhead is at $1,920,000. Other non-production fixed overhead is $2,080,000. Average manufacturing and selling units is 300,000/year (at 75% production capacity). A customer is placing an order for 100,000 unit of M. This order comes with an additional requirement that items are needed to be packed in batch with cach 20,000 units and the packing cost is estimated at $2,000 per batch. Determine the minimum selling price for this order given that the management expects a profit of $1,600,000 for the year. %3! I.Synergy Manufacturing Co. Ltd. manufactures Product A and Product B. The following information is available for March 2020 Product A Product B Production (units) 5,000 3,500 Sales (units) 4,600 3,200 Opening inventory (units) Financial data: Product A Product B Unit selling price £ 180.00 £ 150.00 Unit cost: direct materials £ 30.00 £ 24.00 direct labour £ 36.00 £ 24.00 variable production overheads £ 24.00 £ 16.00 fixed production overheads £ 60.00 £ 40.00 variable selling overheads £ 2.00 £ 2.00 Fixed production overheads for the period were £210,000 and fixed administration overheads were £54,000. Please note that fixed production overheads and fixed administration overheads are shared based on the number of production units for Product A and Product B. Required: Based on the details provided in the table below, prepare and interpret accurate income statements for the company using a range of management accounting techniques, such as marginal and absorption costs.