Question

The following data are for the current year: Sales $700,000 Direct materials 250,000 Direct labor cost 90,000 Variable manufa
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Answer-

Income Statement
Particulars Amount
$
Sales 700000
Less- Variable costs 410000
Direct materials 250000
Direct labor 90000
Variable manufacturing overhead 30000
Variable selling & admin expenses 40000
Contribution Margin 290000
Less- Fixed costs 168000
Fixed direct manufacturing overhead 38000
Fixed indirect selling & admin expenses 130000
Net Income 122000
Add a comment
Know the answer?
Add Answer to:
The following data are for the current year: Sales $700,000 Direct materials 250,000 Direct labor cost...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • ncome Statements under The reporting of the costs of manufactured products, normally direct materials, direct labor,...

    ncome Statements under The reporting of the costs of manufactured products, normally direct materials, direct labor, and factory overhead, as product costs.Absorption Costing and The concept that considers the cost of products manufactured to be composed only of those manufacturing costs that increase or decrease as the volume of production rises or falls (direct materials, direct labor, and variable factory overhead).Variable Costing Gallatin County Motors Inc. assembles and sells snowmobile engines. The company began operations on July 1 and operated...

  • Direct materials Fixed manufacturing overhead costs Sales price Variable manufacturing overhead Direct labor Fixed marketing and...

    Direct materials Fixed manufacturing overhead costs Sales price Variable manufacturing overhead Direct labor Fixed marketing and administrative costs Units produced and sold Variable marketing and administrative costs 35 per unit 225,000 190 per unit 20 per unit 30 per unit $ 185,000 $ 5,000 $ 8 per unit Required: a. Prepare a gross margin income statement. b. Prepare a contribution margin income statement. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a...

  • $19 Variable cost per unit: Direct materials Fixed costs per year: Direct labor Fixed manufacturing overhead...

    $19 Variable cost per unit: Direct materials Fixed costs per year: Direct labor Fixed manufacturing overhead Fixed selling and administrative expenses $250,000 $300,000 $90,000 The company does not incur any variable manufacturing overhead costs or variable selling and administrative expenses. During its first year of operations, Bracey produced 20,000 units and sold 18,000 units. The selling price of the company's product is $55 per unit. Required: 1. Assume the company uses super-variable costing: b. Compute the unit product cost for...

  • this is a management systems control subject Given the following financial data: Sales $1200K Direct Materials $500K...

    this is a management systems control subject Given the following financial data: Sales $1200K Direct Materials $500K Direct Labor $250K Variable Factory Overhead Fixed Factory Overhead Variable Selling and Admin Costs $50K $75K $25K Fixed Selling and Admin Costs $60K 1. (2 pts) Write an Absorption Financial Statement using the above data. Include Gross Margin and Operating Income in the statement. 12 04 k Absafption 45 O 2. (2 pts) Using the same basic data in the table above, write...

  • Speedwagon Inc. shows the following information for 2019: Direct materials (variable) € 31,400 Direct labor (variable)...

    Speedwagon Inc. shows the following information for 2019: Direct materials (variable) € 31,400 Direct labor (variable) C 19,500 Manufacturing overhead (fixed) C 84,600 Selling and advertising costs (variable) € 6,800 Selling and marketing costs (fixed) €21,500 Other operating expenses (fixed) € 146,000 Interest expenses € 18,000 Income tax expense 30% of pre-tax income Depreciation and amortization charges represent 20% of Manufacturing overhead, 5% of fixed Selling and marketing expenses, and 15% of other operating expenses. During the year, the company...

  • Direct materials Fixed manufacturing overhead costs Sales price Variable manufacturing overhead Direct labor Fixed marketing and...

    Direct materials Fixed manufacturing overhead costs Sales price Variable manufacturing overhead Direct labor Fixed marketing and administrative costs Units produced and sold Variable marketing and administrative costs 35 per unit 215,000 205 per unit 19 per unit 34 per unit $ 205,000 $ 5,000 8 per unit Required: a. Prepare a gross margin income statement. b. Prepare a contribution margin income statement. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a gross...

  • Variable costs per unit: Manufacturing: Direct materials $ 21 Direct labor $ 13 Variable manufacturing overhead...

    Variable costs per unit: Manufacturing: Direct materials $ 21 Direct labor $ 13 Variable manufacturing overhead $ 3 Variable selling and administrative $ 2 Fixed costs per year: Fixed manufacturing overhead $ 400,000 Fixed selling and administrative expenses $ 60,000 During its first year of operations, Walsh produced 50,000 units and sold 40,000 units. During its second year of operations, it produced 40,000 units and sold 50,000 units. The selling price of the company’s product is $89 per unit. Required:...

  • The following data are from the accounting records of Niles Castings for year 2: 88,000 Units...

    The following data are from the accounting records of Niles Castings for year 2: 88,000 Units produced and sold Total revenues and costs Sales revenue Direct materials costs Direct labor costs Variable manufacturing overhead Fixed manufacturing overhead Variable marketing and administrative costs Fixed marketing and administrative costs $ 270,000 61,000 38,000 10,000 42,000 14,500 34,000 Required: a. Prepare a gross margin income statement. Gross Margin Income Statement b. Prepare a contribution margin income statement Contribution Margin Income Statement

  • Fill in the blank choices for questions 22-26: Administrative Beginning Contribution Cost driver Direct labor Direct...

    Fill in the blank choices for questions 22-26: Administrative Beginning Contribution Cost driver Direct labor Direct labor-hours Direct materials Dollars of direct labor cost Ending Expensed Fixed Fixed manufacturing overhead For the period ended Income statement Indirect labor Indirect materials Job cost Level of activity Machine-hours Manufacturing Manufacturing overhead Margin Name of company Overapplied Period Predetermined overhead rate Process cost Selling Statement of cost of goods manufactured Total budgeted overhead Underapplied Variable costing Work inprocess inventory Show transcribed image text...

  • $13 Variable cost per unit: Direct materials Fixed costs per year: Direct labor Fixed manufacturing overhead...

    $13 Variable cost per unit: Direct materials Fixed costs per year: Direct labor Fixed manufacturing overhead Fixed selling and administrative expenses $750,000 $420,000 $110,000 The company does not incur any variable manufacturing overhead costs or variable selling and administrative expenses. During its first year of operations, Lyons produced 60,000 units and sold 52,000 units. The selling price of the company's product is $40 per unit. Required: 1. Assume the company uses super-variable costing: b. Compute the unit product cost for...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT