Carolina Corporation, which uses throughput costing, began operations at the start of the current year. Planned and actual production equaled 24,500 units, and sales totaled 21,000 units at $98 per unit. Cost data for the year were as follows: Direct materials (per unit) Conversion cost: Direct labor Variable manufacturing overhead Fixed manufacturing overhead Selling and administrative costs (total) A. Total cost B. Year-end inventory: Absorption costing Variable costing Required: A. Compute the company's total cost for the year. B. How much of this cost would be held in year-end Inventory under (1) absorption costing and (2) variable costing? C. How much of the company's total cost for the year would appear on the period's Income statement under (1) absorption costing and (2) varlable costing? C. Total costs: 21 Absorption costing Variable costing 190,000 300,000 392,000 436,000

Carolina Corporation, which uses throughput costing, began operations at the start of the current year. Planned and actual production equaled 24,500 units, and sales totaled 21,000 units at $98 per unit. Cost data for the year were as follows: Direct materials (per unit) Conversion cost: Direct labor Variable manufacturing overhead Fixed manufacturing overhead Selling and administrative costs (total) A. Total cost B. Year-end inventory: Absorption costing Variable costing Required: A. Compute the company's total cost for the year. B. How much of this cost would be held in year-end Inventory under (1) absorption costing and (2) variable costing? C. How much of the company's total cost for the year would appear on the period's Income statement under (1) absorption costing and (2) varlable costing? C. Total costs: 21 Absorption costing Variable costing 190,000 300,000 392,000 436,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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