Classy company, which uses absorption costing, produced 1,000 units of product in its 1st year of operations and sold 800 units. There are no work in process at the end of the year .Total costs were factory overhead P100,000 (20% fixed), marketing and administrative costs P150,000 (60% fixed), and direct material costs plus direct labor costs of P500,000. The cost of ending finished goods inventory is

Classy company, which uses absorption costing, produced 1,000 units of product in its 1st year of operations and sold 800 units. There are no work in process at the end of the year .Total costs were factory overhead P100,000 (20% fixed), marketing and administrative costs P150,000 (60% fixed), and direct material costs plus direct labor costs of P500,000. The cost of ending finished goods inventory is

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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