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The accounting records for Halcyon Company included the following cost information relating to its first year of operations Direct materials Direct labor Fixed manufacturing overhead $43,000 Variable manufacturing overhead$17,000 $26,500 $47,000 Assume the company produced 10,000 units of inventory and sold 6,700 of these units during the year for $111,890. Under variable costing, what is the contribution margin for the year? Show work.
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Answer #1
Halcyon Company
Contribution Margin
Particulars Amount Amount
Sales $ 1,11,890.00
Variable Costs
Direct Materail $ 26,500.00
Direct labor $ 47,000.00
Variable Manufacturing OH $ 17,000.00
Total Variable Costs $90,500.00
Variable Cost of 6700 Units $    60,635.00
Contribution Margin $    51,255.00

Contribution Margin for the Year is $51255

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