Discon Corporation manufactures a popular doll called Teardrops. Last year the company started with 10,300 dolls, produced 220,000 dolls, and ended the year with 8,300 dolls. Each doll was sold for $20. The actual unit cost for Teardrops is given below: Direct material Direct labour variable overhead Fixed overhead Total unit cost $ 2.30 0.80 2.80 7.10 $13.00 The only selling expenses were a commission of $2 per unit sold and advertising amounting to $353,000. Administrative expenses, all fixed, equalled $273,000. There were no beginning and ending work-in-process inventories. Required: 1. Prepare an income statement. Discon Corporation Income Statement For the Year Ended December 31, XXXX Selling and administrative expenses: $ a. Prime cost b. Conversion cost C. Variable cost 0 2. Calculate the following per unit costs: (Round your answers to 2 dec

Discon Corporation manufactures a popular doll called Teardrops. Last year the company started with 10,300 dolls, produced 220,000 dolls, and ended the year with 8,300 dolls. Each doll was sold for $20. The actual unit cost for Teardrops is given below: Direct material Direct labour variable overhead Fixed overhead Total unit cost $ 2.30 0.80 2.80 7.10 $13.00 The only selling expenses were a commission of $2 per unit sold and advertising amounting to $353,000. Administrative expenses, all fixed, equalled $273,000. There were no beginning and ending work-in-process inventories. Required: 1. Prepare an income statement. Discon Corporation Income Statement For the Year Ended December 31, XXXX Selling and administrative expenses: $ a. Prime cost b. Conversion cost C. Variable cost 0 2. Calculate the following per unit costs: (Round your answers to 2 dec

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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