Homework Help is Here – Start Your Trial Now!
Business
Accounting
Crane Company sells its product for $7100 per unit. Unit variable cost are: manufacturing, $3400, and selling and administrative, $100. Fixed costs are: $16000 manufacturing overhead and $22000 selling and administrative. There was no beginning inventory at 1/1/21. Production was 20 units per year in 2021-2023. Sales were 20 units in 2021, 16 units in 2022, and 24 units in 2023. Net income under absorption costing for 2022 is $4500. $22800. $9400. $27300.

Crane Company sells its product for $7100 per unit. Unit variable cost are: manufacturing, $3400, and selling and administrative, $100. Fixed costs are: $16000 manufacturing overhead and $22000 selling and administrative. There was no beginning inventory at 1/1/21. Production was 20 units per year in 2021-2023. Sales were 20 units in 2021, 16 units in 2022, and 24 units in 2023. Net income under absorption costing for 2022 is $4500. $22800. $9400. $27300.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Q.15 Crane company sells its product for $7100 per unit…
Crane Company sells its product for $7,100 per unit. Unit variable costs are: manufacturing, $3,400, and selling and administrative, $100. Fixed costs are: $16,000 manufacturing overhead and $22,000 selling and administrative. There was no beginning inventory at 1/1/21. Production was 20 units per year in 2021–2023. Sales were 20 units in 2021, 16 units in 2022, and 24 units in 2023. Net income under absorption costing for 2022 is - ○ $4,500 - ○ $22,800 - ○ $9,400 - ○ $27,300
Transcribed Image Text:Crane Company sells its product for $7,100 per unit. Unit variable costs are: manufacturing, $3,400, and selling and administrative, $100. Fixed costs are: $16,000 manufacturing overhead and $22,000 selling and administrative. There was no beginning inventory at 1/1/21. Production was 20 units per year in 2021–2023. Sales were 20 units in 2021, 16 units in 2022, and 24 units in 2023. Net income under absorption costing for 2022 is - ○ $4,500 - ○ $22,800 - ○ $9,400 - ○ $27,300
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS