A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (20,100 units):        Direct materials $174,200      Direct labor 231,300      Variable factory overhead 256,700      Fixed factory overhead 92,600 $754,800 Operating expenses:        Variable operating expenses $124,900      Fixed operating expenses 43,200 168,100 If 1,500 units remain unsold at the end of the month, the amount of inventory that would be reported on the absorption costing balance sheet is a.$49,418 b.$58,739 c.$68,873 d.$56,340

Q: Aaron Corporation, which has only one product, has provided the following data concerning its most…

A: Product cost is the cost incurred on the production or making of a product. It is the cost that…

Q: At the end of the first year of operations, 6,100 units remained in the finished goods inventory.…

A: Lets understand the basics.There are two costing system are followed which are,(1) Variable…

Q: Round your answer to the nearest dollar

A: Explanation of Work in Process Inventory:Work in Process (WIP) inventory refers to partially…

Q: Rene Inc. has capacity to produce 15,000 units of inventory. It operated at 100% capacity during the…

A: The objective of the question is to calculate the Cost of Goods Sold (COGS) under the variable…

Q: business operated at 100% of capacity during its first month and incurred the following costs:…

A: Introduction:   To keep track of all costs associated with creating a certain product, "absorption…

Q: business operated at 100% of capacity during its first month and incurred the following costs:…

A: Variable costing:Assigning only variable manufacturing costs to the product is referred to as…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A:

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Absorption Costing Method :— Under this method, total manufacturing cost or production cost is the…

Q: business operated at 100% of capacity during its first month and incurred the following costs:…

A: Absorption Costing: The absorption costing is the method of costing in which the enterprise…

Q: f 1,900 units remain unsold at the end of the month, the amount of inventory that would be reported…

A: Solution : Amount of inventory shown in balance sheet =(Computation  of variable cost per unit *…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Calculate the amount of production cost for 16,200 units (17,800-1,600 units).

Q: On January 1 of the current year, Townsend Co. commenced operations. It operated its plant at 100%…

A: The income statement is prepared using different methods as absorption and variable costing. Using…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: PARTICULARS  AMOUNT ($) DIRECT MATERIAL $175,500 DIRECT LABOR $232,800 VARIABLE FACTORY…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Variable costing income statement: This statement shows the net operating income after subtracting…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Solution- Calculation the amount of production cost for 16600 units (18300-1700 units) Production…

Q: During January, DAC Inc. produced 5,000 units of product with costs as follows:   Direct materials…

A: Variable Costing Method: The variable costing method is a type of costing method where the cost of…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: As per the absorption costing system, product cost includes both fixed and variable expenses.

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Introduction: Total cost is an accounting measure. It includes not only the actual monetary spend…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: In variable income statement all the variable manufacturing expenses are considered as the product…

Q: Production costs (18,900 units): Direct materials Direct labor $171,300 235,500 247,300 93,300…

A: Using absorption Costing, all fixed and variable manufacturing costs are included in the product…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: ABSORPTION COSTINGAbsorption Costing is a Cost Management Accounting method in which all costs…

Q: REYNOLDS INVENTORY FLOWS PROBLEM: Reynolds Company has beginning inventory balances of $120,000 for…

A: Finished Goods Inventory: It implies to the goods at the final inventory stage after passing the…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Absorption costing is a method of costing in which product cost is calculated by adding direct…

Q: Rene Inc. has capacity to produce 15,000 units of inventory. It operated at 100% capacity during the…

A: The costs incurred for the production are classified as period and product costs. The product costs…

Q: Rene Inc. has capacity to produce 15,000 units of inventory. It operated at 100% capacity during the…

A: The objective of the question is to calculate the value of the inventory at the end of the second…

Q: Production costs (5,000 units): Direct materials Direct labor Variable factory overhead Fixed…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: overhead erhead S: 234,900 251,700 92,100 $752,000 ng expenses $131,700 expenses 45,600 177,300 ain…

A: Answer : Total production cost per unit : Direct material  $173,300 Direct labor 234,900…

Q: Easton Pump Company's planned production for the year just ended was 19,300 units. This production…

A: Variable costing is a method of costing in which product cost is calculated by adding direct…

Q: Under variable costing, the value of the inventory is:

A: Option D is correct.

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Absorption costing: Absorption costing is also called traditional costing. This method of costing…

Q: Nathan Inc. provides the following cost information for producing 12,000 units of inventory during…

A: The objective of the question is to calculate the Cost of Goods Sold (COGS) for Nathan Inc. under…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Variable costing is the method under which the contribution is computed at first, by deducting the…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: To calculate the ending inventory under variable costing, we need to determine the total variable…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Valuation of the inventory that is produced considering the production cost that is variable upon…

Q: A manufacturer reports the following costs to produce 19,000 units in its first year of operations:…

A: VARIABLE COSTINGVariable Costing is a Cost Managerial Accounting Method in which all variable cost…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Amount of inventory in hand means the inventory that is left with the entity at the end of the…

Q: Pandora Brewing Company's planned production for the year just ended was 22,300 units. This…

A: Using variable costing, only variable manufacturing costs are recorded as the product cost. Using…

Q: he following information is available for Carter Corporation: Materials inventory decreased $4,000.…

A: a.  Compute Finished goods inventory on January 1.

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Under variable costing the unit product cost consists of cost incurred in the factory for production…

Q: The company produced 21,000 units, and sold 15,500 units, leaving 5,500 units in inventory at…

A: A variable costing system refers to the costing system in which manufacturing cost is computed after…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Variable costing is the method of costing, where only the variable costs are assigned to the cost of…

Q: Crunchem Cereal Company incurred the following actual costs during 20x1. Direct material used Direct…

A: Cost of Goods Sold (COGS) represents the direct expenses incurred in producing or purchasing the…

Q: A business operated at 100% of capacity during its first month and incurred the following costs:…

A: Ending Inventory = Number of Units in Ending Inventory x Cost per Unit Cost per Unit under Variable…

Q: Jennifer R Us is currently operating at 100% capacity and incurred the following costs during the…

A: Product cost using absorption costing :— Under this method, product cost is calculated by adding…

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.