Fresno Industries Inc. manufactures and sells high-quality camping tents. The company began operations on January 1 and operated at 100% of capacity (56,100 units) during the first month, creating an ending inventory of 5,100 units. During February, the company produced 51,000 units during the month but sold 56,100 units at $80 per unit. The February manufacturing costs and selling and administrative expenses were as follows:   Number of Units Unit Cost Total Cost Manufacturing costs in February 1 beginning inventory:       Variable 5,100   $32.00   $163,200   Fixed 5,100   12.00   61,200   Total   $44.00   $224,400   Manufacturing costs in February:       Variable 51,000   $32.00   $1,632,000   Fixed 51,000   13.20   673,200   Total   $45.20   $2,305,200   Selling and administrative expenses in February:       Variable 56,100   $15.60   $875,160   Fixed 56,100   7.00   392,700   Total   $22.60   $1,267,860   a.  Prepare an income statement according to the absorption costing concept for the month ending February 28. b.  Prepare an income statement according to the variable costing concept for the month ending February 28.

Variable Costing Income Statement 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 (5,600 units) Cost of goods sold: Cost of goods manufactured (6,600 units) Inventory, April 30 (900 units) Total cost of goods sold Gross profit Selling and administrative expenses Operating income Variable cost of goods sold: $138,600 (18,900) Fixed costs: $162,400 If the fixed manufacturing costs were $30,492 and the fixed selling and administrative expenses were $12,600, prepare an income statement according to the variable costing concept. Round all final answers to whole dollars. Joplin Company Variable Costing Income Statement For the Month Ended April 30 (119,700) $42,700 (25,720) $16,980

Estimated Income Statements, using Absorption and Variable Costing Prior to the first month of operations ending October 31, Marshall Inc. estimated the following operating results: Sales (23,200 x $81) $1,879,200   Manufacturing costs (23,200 units):   Direct materials 1,127,520   Direct labor 266,800   Variable factory overhead 125,280   Fixed factory overhead 148,480   Fixed selling and administrative expenses 40,400   Variable selling and administrative expenses 48,800   The company is evaluating a proposal to manufacture 25,600 units instead of 23,200 units, thus creating an ending inventory of 2,400 units. Manufacturing the additional units will not change sales, unit variable factory overhead costs, total fixed factory overhead cost, or total selling and administrative expenses. a. 1. Prepare an estimated income statement, comparing operating results if 23,200 and 25,600 units are manufactured in the absorption costing format. If an amount box does not…

Denton Company manufactures and sells a single product. Cost data for the product are given: Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Total variable cost per unit Fixed costs per month: Fixed manufacturing overhead Fixed selling and administrative Total fixed cost per month July August The product sells for $48 per unit. Production and sales data for July and August, the first two months of operations, follow: Units Produced 27,000 27,000 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income $ 108,000 172,000 $ 280,000 Required: 1. Determine the unit product cost under: a. Absorption costing. b. Variable costing. $ 5 11 3 2 $ 21 Units Sold 23,000 31,000 The company's Accounting Department has prepared the following absorption costing income statements for July and August: July August $ 1,104,000 $ 1,488,000 529,000 575,000 218,000 $ 357,000 713,000 775,000 234,000…