Aces Incorporated, a manufacturer of tennis rackets, began operations this year. The company produced 6,650 rackets and sold 5,230. Each racket was sold at a price of $90. Fixed overhead costs are $86,450 per year, and fixed selling and administrative costs are $66,600 per year. The company also reports the following per unit variable costs for the year. Direct materials Direct labor Variable overhead Variable selling and administrative expenses QS 19-5 (Algo) Reporting inventory using variable costing LO P2 Compute the cost of ending finished goods inventory reported on the balance sheet using variable costing. Finished goods inventory under variable costing Product cost per unit Finished goods inventory reported on balance sheet $ $ 12 8 0

Aces Incorporated, a manufacturer of tennis rackets, began operations this year. The company produced 6,650 rackets and sold 5,230. Each racket was sold at a price of $90. Fixed overhead costs are $86,450 per year, and fixed selling and administrative costs are $66,600 per year. The company also reports the following per unit variable costs for the year. Direct materials Direct labor Variable overhead Variable selling and administrative expenses QS 19-5 (Algo) Reporting inventory using variable costing LO P2 Compute the cost of ending finished goods inventory reported on the balance sheet using variable costing. Finished goods inventory under variable costing Product cost per unit Finished goods inventory reported on balance sheet $ $ 12 8 0

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Subject: accounting
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