Consider the following information for Presidio Inc.'s most recent year of operations.Number of units producedNumber of units soldsales price per unitDirect materials per unitDirect labor per unitvariable manufacturing overhead per unitFixed manufacturing overhead per unit ($319,140+ 2,700 units)Total variable selling expenses ($11 per unitsold)Total fixed general and administrative expensesReq 2ARequired:2-a. Complete a full absorption costing income statement for Presidio. Assume there was no beginning inventory.2-b. Complete a variable costing income statement for Presidio. Assume there was no beginning inventory.3. Compute the difference in profit between full absorption costing and variable costing.Complete this question by entering your answers in the tabs below.Req 28Contribution MarginLess: Fixed Costs$2,7001,650660.0080.00110.0060.00118.20Req 3Net Operating Income18,150.0077,000.00Complete a variable costing income statement for Presidio. Assume there was no beginning inventory.Presidio, Inc.Variable Costing Income Statement Consider the following information for Presidio Inc.'s most recent year of operations.Number of units producedNumber of units soldsales price per unitDirect materials per unitDirect labor per unitvariable manufacturing overhead per unitFixed manufacturing overhead per unit ($319,140+ 2,700 units)Total variable selling expenses ($11 per unitsold)Total fixed general and administrative expensesReq 2ARequired:2-a. Complete a full absorption costing income statement for Presidio. Assume there was no beginning inventory.2-b. Complete a variable costing income statement for Presidio. Assume there was no beginning inventory.3. Compute the difference in profit between full absorption costing and variable costing.Req 28Complete this question by entering your answers in the tabs below.$Gross MarginLess: Non-Manufacturing Expenses2,7001,650660.0080.00110.0060.00118.20Req 3Net Operating Income18,150.0077,000.00Complete a full absorption costing income statement for Presidio. Assume there was no beginning inventory.Presidio, Inc.Full Absorption Income Statement

Name: Consider the following information for Presidio Inc.'s most recent ye
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Description: Consider the following information for Presidio Inc.'s most recent year of operations.Number of units producedNumber of units soldsales price per unitDirect materials per unitDirect labor per unitvariable manufacturing overhead per unitFixed manufac

Income statement is the financial statement that records all the income and expenses of the…

Business

Accounting

Consider the following information for Presidio Inc.'s most recent year of operations. Number of units produced Number of units sold sales price per unit 2,700 1,650 660.00 80.00 110.00 60.00 118.20 Direct materials per unit Direct labor per unit variable manufacturing overhead per unit Fixed manufacturing overhead per unit ($319,140 + 2,700 units) Total variable selling expenses ($11 per unit 18,150.00 sold) Total fixed general and administrative expenses 77,000.00 Required: 2-a. Complete a full absorption costing income statement for Presidio. Assume there was no beginning inventory. 2-b. Complete a variable costing income statement for Presidio. Assume there was no beginning inventory. 3. Compute the difference in profit between full absorption costing and variable costing.

Consider the following information for Presidio Inc.'s most recent year of operations. Number of units produced Number of units sold sales price per unit 2,700 1,650 660.00 80.00 110.00 60.00 118.20 Direct materials per unit Direct labor per unit variable manufacturing overhead per unit Fixed manufacturing overhead per unit ($319,140 + 2,700 units) Total variable selling expenses ($11 per unit 18,150.00 sold) Total fixed general and administrative expenses 77,000.00 Required: 2-a. Complete a full absorption costing income statement for Presidio. Assume there was no beginning inventory. 2-b. Complete a variable costing income statement for Presidio. Assume there was no beginning inventory. 3. Compute the difference in profit between full absorption costing and variable costing.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Concept explainers

Process Costing

Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure. 

Job Costing

Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.

ABC Costing

Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.

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Question

Consider the following information for Presidio Inc.'s most recent year of operations.
Number of units produced
Number of units sold
sales price per unit
Direct materials per unit
Direct labor per unit
variable manufacturing overhead per unit
Fixed manufacturing overhead per unit ($319,140
+ 2,700 units)
Total variable selling expenses ($11 per unit
sold)
Total fixed general and administrative expenses
Req 2A
Required:
2-a. Complete a full absorption costing income statement for Presidio. Assume there was no beginning inventory.
2-b. Complete a variable costing income statement for Presidio. Assume there was no beginning inventory.
3. Compute the difference in profit between full absorption costing and variable costing.
Complete this question by entering your answers in the tabs below.
Req 28
Contribution Margin
Less: Fixed Costs
$
2,700
1,650
660.00
80.00
110.00
60.00
118.20
Req 3
Net Operating Income
18,150.00
77,000.00
Complete a variable costing income statement for Presidio. Assume there was no beginning inventory.
Presidio, Inc.
Variable Costing Income Statement

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Subject: accounting