Bonita Company uses a standard cost accounting system. During January, the company reported the following manufacturing variances. Materials price variance Materials quantity variance Labor price variance $1.360 U 760 F 490 U Labor quantity variance Overhead variance $810 U 8:30 U In addition, 8,250 units of product were sold at $8 per unit. Each unit sold had a standard cost of $3. Selling and administrative expenses were $7,860 for the month. Prepare an income statement for management for the month ended January 31, 2022. BONITA COMPANY Income Statement UDU !!! < >

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Bonita Company uses a standard cost accounting system. During January, the company reported the following manufacturing
variances.
Materials price variance
Materials quantity variance
Labor price variance
$1,360 U
760 F
490 U
Labor quantity variance
Overhead variance
$810 U
830 U
In addition, 8,250 units of product were sold at $8 per unit. Each unit sold had a standard cost of $3. Selling and administrative
expenses were $7,860 for the month.
Prepare an income statement for management for the month ended January 31, 2022.
BONITA COMPANY
Income Statement
2
>
Transcribed Image Text:Bonita Company uses a standard cost accounting system. During January, the company reported the following manufacturing variances. Materials price variance Materials quantity variance Labor price variance $1,360 U 760 F 490 U Labor quantity variance Overhead variance $810 U 830 U In addition, 8,250 units of product were sold at $8 per unit. Each unit sold had a standard cost of $3. Selling and administrative expenses were $7,860 for the month. Prepare an income statement for management for the month ended January 31, 2022. BONITA COMPANY Income Statement 2 >
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