31. Warmuplang Corporation showed the following costs for 2020 Warehouse depreciation P 300,000 Salaries of warehouse supervisor 200,000 Increase in RM inventory 20,000 Direct material purchases 120,000 Direct labor costs incurred 180,000 Variable selling costs 80,000 QUESTION: if the company produced and sold 100,000 and 90,000 units, respectively during 2020. How much would be the difference in net income under absorption and variable costing?
31. Warmuplang Corporation showed the following costs for 2020 Warehouse depreciation P 300,000 Salaries of warehouse supervisor 200,000 Increase in RM inventory 20,000 Direct material purchases 120,000 Direct labor costs incurred 180,000 Variable selling costs 80,000 QUESTION: if the company produced and sold 100,000 and 90,000 units, respectively during 2020. How much would be the difference in net income under absorption and variable costing?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
31.
Warmuplang Corporation showed the following costs for 2020
Warehouse
Salaries of warehouse supervisor 200,000
Increase in RM inventory 20,000
Direct material purchases 120,000
Direct labor costs incurred 180,000
Variable selling costs 80,000
QUESTION: if the company produced and sold 100,000 and 90,000 units, respectively during 2020. How much would be the difference in net income under absorption and variable costing?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education