C Topic: Week 6: Discussion Il+mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fnewconnect.mheducation.com%252F#/activity/qupter 6SavedThe product sells for $45 per unit. Production and sales data for July and August, the first two months of operations, tollow:UnitsProduced24, 00024, e00UnitsSold20, 00028, 000JulyAugustThe company's Accounting Department has prepared the following absorption costing income statements for July and August:July$ 900, e00SalesCost of goods soldGross marginSelling and administrative expensesNet operating income420, 000480, 000226, 000$ 254, 000August$1, 260, 000588, 000672, 000250, 000422, 000Required:1. Determine the unit product cost under:a. Absorption costing.b. Variable costing.2. Prepare variable costing income statements for July and August.3. Reconcile the variable costing and absorption costing net operating incomes.Complete this question by entering your answers in the tabs below.Required 1Required 2Required 3Determine the unit product cost under: (a) Absorption costing, (b) Variable costing.< Prev5 of 5NextDELL->$%&#89734 O Topic: Week 6: Discu ssion IIlx +a ezto.mheducation.com/ext/map/index.html?_con=con&external_browser-D0& launchUrl=https%253A%252F%252Fnewconnect.mheducation.com%252F#z- Chapter 6 ASavedDenton Company manufactures and sells a single product. Cost data for the product are given:Variable costs per unit:Direct materialsDirect laborVariable manufacturing overheadVariable selling and administrativeTotal variable cost per unitSkipped2$31223$ 20Fixed costs per month:Fixed manufacturing overheadFixed selling and administrative$ 96, 000166, 000$ 262, 000Total fixed cost per monthThe product sells for $45 per unit. Production and sales data for July and August, the first two months of operations, follow:UnitsProduced24, 00024, 000UnitsSoldJulyAugust20, 00028, 000The company's Accounting Department has prepared the following absorption costing income statements for July and August:SalesCost of goods soldGross marginSelling and administrative expensesJuly$ 900, 000420, 000480,000226, 000August$1, 260, 00e588, 000672,000250, 000Net operating income$ 254, 000422, 000McGrawHillEdecation< Prev5 of 5NestDELL@#2$&2

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Description: C Topic: Week 6: Discussion Il+mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fnewconnect.mheducation.com%252F#/activity/qupter 6SavedThe product sells for $45 per unit. Production and sales data for July

Contribution margin shows the excess of sales over variable cost. It is the part of the sales left…

Business

Accounting

The product sells for $45 per unit. Production and sales data tor July and August, the tirst two months of operations, tollow: July August Units Produced 24, e00 24, 000 Units Sold 20, 000 28,000 The company's Accounting Department has prepared the following absorption costing income statements for July and August: Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income 塞議 July $ 900, e00 420, 000 480, 000 226, 000 $ 254, 000 August $1, 260, 000 588, 000 672,000 250, 000 422, 000 Required: 1. Determine the unit product cost under a. Absorption costing. b. Variable costing. 2. Prepare variable costing income statements for July and August. 3. Reconcile the variable costing and absorption costing net operating incomes.

The product sells for $45 per unit. Production and sales data tor July and August, the tirst two months of operations, tollow: July August Units Produced 24, e00 24, 000 Units Sold 20, 000 28,000 The company's Accounting Department has prepared the following absorption costing income statements for July and August: Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income 塞議 July $ 900, e00 420, 000 480, 000 226, 000 $ 254, 000 August $1, 260, 000 588, 000 672,000 250, 000 422, 000 Required: 1. Determine the unit product cost under a. Absorption costing. b. Variable costing. 2. Prepare variable costing income statements for July and August. 3. Reconcile the variable costing and absorption costing net operating incomes.

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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