Homework Answers
Add Answer to:
QUESTION 1 Which of the following is not true about the variable costing and absorption costing...
Which of the following statements is true of absorption costing? a. It is used only for...
Which of the following statements is true of absorption costing?a. It is used only for internal reporting purposes.b. It assigns all manufacturing costs to the product.c. It treats fixed selling overhead as a product cost.d. It treats fixed manufacturing overhead as a period cost.Determine the value of ending inventory under variable costing.a. $ 1,050,000b. $ 570,000c. $ 690,000d. $ 750,000Determine the cost of goods sold under absorption costing.a. $ 360,000b. $ 500,000c. $ 400,000d. $ 540,000
Which of the following is true of absorption costing? It expenses marketing costs as cost of...
Which of the following is true of absorption costing? It expenses marketing costs as cost of goods sold. It treats direct manufacturing costs as a period cost. It includes fixed manufacturing overhead as an inventoriable D) It treats indirect manufacturing costs as a period cost. Answer: 17. Which of the following is true of variable costing? A) It expenses administrative costs as cost of goods sold. B) It treats direct manufacturing costs as a product cost. It includes fixed manufacturing...
Which of the following is true of absorption costing? It expenses marketing costs as cost of goods sold. It treats...
Which of the following is true of absorption costing? It expenses marketing costs as cost of goods sold. It treats direct manufacturing costs as a period cost. It includes fixed manufacturing overhead as an inventoriable D) It treats indirect manufacturing costs as a period cost. Answer: 17. Which of the following is true of variable costing? A) It expenses administrative costs as cost of goods sold. B) It treats direct manufacturing costs as a product cost. It includes fixed manufacturing...
Question 1 (2 points) Which of the following is true regarding the absorption costing method of...
Question 1 (2 points) Which of the following is true regarding the absorption costing method of calculating income? O A) Absorption costing and variable costing will produce the same net income if all of the units produced are sold. O B) Absorption costing treats the fixed overhead allocated to units produced as a period cost. U C) Absorption costing will produce a smaller net income than variable costing if the number of units produced is greater than the number of...
A. The table that follows denotes selected characteristics of absorption costing and/or variable costing Characteristic Absorption...
A. The table that follows denotes selected characteristics of absorption costing and/or variable costing Characteristic Absorption Costing Variable Costing Product cost: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Period cost: Variable selling and administrative cost Fixed selling and administrative cost Fixed manufacturing overhead Income statement disclosure/audience: Gross margin Contribution margin Lower net income when inventories rise External financial-statement users Required: Evaluate each product-cost, period-cost, and income-statement/disclosure characteristic and determine whether it relates to absorption costing, variable costing,...
1) what is the amount of the difference between the variable costing and absorption costing net...
1) what is the amount of the difference between the variable
costing and absorption costing net operating incomes (losses)?
2) Whats the company's break-even point in unit sales?
is the above or below the actual unit sales?
Diego Company manufactures one product that is sold for $76 per unit in two geographic regions-the East and West regions. The following information pertains to the company's first year of operations in which it produced 58,000 units and sold 54,000 units. Variable costs...
Identify the true statement about variable costing. a. It treats fixed manufacturing overhead as a period...
Identify the true statement about variable costing. a. It treats fixed manufacturing overhead as a period cost. b. It is the most acceptable product-costing method for external reporting, c. It assigns all manufacturing costs to the product. Od. It treats fixed selling overhead as a product cost. blem #3 of 12 The following data relates to Alpha Company. Units in beginning inventory Units produced 24,000 Units sold ($250 per unit) 20,000 Variable costs per unit: Direct materials Direct labor Variable...
Which of the following statements is true? Ι ο Under variable costing, direct materials and direct...
Which of the following statements is true? Ι ο Under variable costing, direct materials and direct labor are expensed as period expenses. ο Under variable costing, fixed manufacturing overhead is expensed as period expenses. ο Fixed manufacturing overhead costs are treated the same under both absorption costing and variable costing. ο Reported income under absorption costing is not affected by production level changes. ο Under absorption costing, fixed manufacturing overhead is expensed as period expenses.
Which of the following statements is true regarding variable costing? Multiple Choice It is a traditional...
Which of the following statements is true regarding variable costing? Multiple Choice It is a traditional costing approach. It makes it easier to manipulate earnings with changes in production levels. Only manufacturing costs that change in total with changes in production level are included in product costs. It treats overhead in the same manner as absorption costing. It is not permitted to be used for managerial reporting.
Inventory Valuation under Absorption Costing and Variable Costing At the end of the first year of...
Inventory Valuation under Absorption Costing and Variable Costing At the end of the first year of operations, 5,900 units remained in the finished goods inventory. The unit manufacturing costs during the year were as follows: Direct materials $34.70 Direct labor 20.50 Fixed factory overhead 6.20 Variable factory overhead 5.50 Determine the cost of the finished goods inventory reported on the balance sheet under (a) the absorption costing concept and (b) the variable costing concept. Absorption costings Variable costing $ Feedback...
Which of the following statements is true of absorption costing?a. It is used only for internal reporting purposes.b. It assigns all manufacturing costs to the product.c. It treats fixed selling overhead as a product cost.d. It treats fixed manufacturing overhead as a period cost.Determine the value of ending inventory under variable costing.a. $ 1,050,000b. $ 570,000c. $ 690,000d. $ 750,000Determine the cost of goods sold under absorption costing.a. $ 360,000b. $ 500,000c. $ 400,000d. $ 540,000
Which of the following is true of absorption costing? It expenses marketing costs as cost of goods sold. It treats direct manufacturing costs as a period cost. It includes fixed manufacturing overhead as an inventoriable D) It treats indirect manufacturing costs as a period cost. Answer: 17. Which of the following is true of variable costing? A) It expenses administrative costs as cost of goods sold. B) It treats direct manufacturing costs as a product cost. It includes fixed manufacturing...
Which of the following is true of absorption costing? It expenses marketing costs as cost of goods sold. It treats direct manufacturing costs as a period cost. It includes fixed manufacturing overhead as an inventoriable D) It treats indirect manufacturing costs as a period cost. Answer: 17. Which of the following is true of variable costing? A) It expenses administrative costs as cost of goods sold. B) It treats direct manufacturing costs as a product cost. It includes fixed manufacturing...
Question 1 (2 points) Which of the following is true regarding the absorption costing method of calculating income? O A) Absorption costing and variable costing will produce the same net income if all of the units produced are sold. O B) Absorption costing treats the fixed overhead allocated to units produced as a period cost. U C) Absorption costing will produce a smaller net income than variable costing if the number of units produced is greater than the number of...
A. The table that follows denotes selected characteristics of absorption costing and/or variable costing Characteristic Absorption Costing Variable Costing Product cost: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Period cost: Variable selling and administrative cost Fixed selling and administrative cost Fixed manufacturing overhead Income statement disclosure/audience: Gross margin Contribution margin Lower net income when inventories rise External financial-statement users Required: Evaluate each product-cost, period-cost, and income-statement/disclosure characteristic and determine whether it relates to absorption costing, variable costing,...
1) what is the amount of the difference between the variable
costing and absorption costing net operating incomes (losses)?
2) Whats the company's break-even point in unit sales?
is the above or below the actual unit sales?
Diego Company manufactures one product that is sold for $76 per unit in two geographic regions-the East and West regions. The following information pertains to the company's first year of operations in which it produced 58,000 units and sold 54,000 units. Variable costs...
Identify the true statement about variable costing. a. It treats fixed manufacturing overhead as a period cost. b. It is the most acceptable product-costing method for external reporting, c. It assigns all manufacturing costs to the product. Od. It treats fixed selling overhead as a product cost. blem #3 of 12 The following data relates to Alpha Company. Units in beginning inventory Units produced 24,000 Units sold ($250 per unit) 20,000 Variable costs per unit: Direct materials Direct labor Variable...
Which of the following statements is true? Ι ο Under variable costing, direct materials and direct labor are expensed as period expenses. ο Under variable costing, fixed manufacturing overhead is expensed as period expenses. ο Fixed manufacturing overhead costs are treated the same under both absorption costing and variable costing. ο Reported income under absorption costing is not affected by production level changes. ο Under absorption costing, fixed manufacturing overhead is expensed as period expenses.
Inventory Valuation under Absorption Costing and Variable Costing At the end of the first year of operations, 5,900 units remained in the finished goods inventory. The unit manufacturing costs during the year were as follows: Direct materials $34.70 Direct labor 20.50 Fixed factory overhead 6.20 Variable factory overhead 5.50 Determine the cost of the finished goods inventory reported on the balance sheet under (a) the absorption costing concept and (b) the variable costing concept. Absorption costings Variable costing $ Feedback...
Most questions answered within 3 hours.
-
A uniform magnetic field is perpendicular to the plane of a wire
loop. If the loop...
asked 4 minutes ago -
Preparation of Benzoic Acid using a Grignard Reagent URGENT
1. During your Grignard formation, a small...
asked 6 minutes ago -
At the peak of your career, your were earning $120,000 and
holding a top level position....
asked 8 minutes ago -
. A permanent magnet is dropped south-end-down through a horizontal
circular coil with a radius of...
asked 10 minutes ago -
Bernie's Beverages purchased some fixed assets classified as
5-year property for MACRS. The assets cost $28,000....
asked 24 minutes ago -
How many ATPs are produced from the catabolism of a 10-C
molecule of fatty acid under...
asked 28 minutes ago -
Before practicing a routine on the rings, a 64.8 kg gymnast
hangs motionless, with one hand...
asked 30 minutes ago -
If the K b of a weak base is 6.3 × 10 − 6 , what...
asked 36 minutes ago -
Which of the following is the minimum amount of moles of NaOH
that must be added...
asked 40 minutes ago -
Stories about organizational ________ provide important clues
about cultural values and norms.
a. myths
b. heroes...
asked 42 minutes ago -
Explain the criteria used in selecting a target market
BUS220 Retail Management, thank you!
asked 43 minutes ago -
Convert/Calculate the following:
Determine the identity of an elemental gas if 4.55 L weighing
35.4g, under...
asked 47 minutes ago