Home Insert Page Layout Formules Data 21,000 1 Units produced 2 Units sold 3 Selling price 4 Variable costs: Manufacturing cost per unit produced: 18,500 432 Direct materials 33 Direct manufacturing labor 23 Manufacturing overhead 62 Marketing cost per unit sold 10 Fixed costs: Manufacturing costs 46 $1,550,000 906,300 11 12 Administrative costs 13 Marketing costs 1,479,000 %24 %24
Home Insert Page Layout Formules Data 21,000 1 Units produced 2 Units sold 3 Selling price 4 Variable costs: Manufacturing cost per unit produced: 18,500 432 Direct materials 33 Direct manufacturing labor 23 Manufacturing overhead 62 Marketing cost per unit sold 10 Fixed costs: Manufacturing costs 46 $1,550,000 906,300 11 12 Administrative costs 13 Marketing costs 1,479,000 %24 %24
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Horace Company manufactures a professional-grade vacuum cleaner and began operations in 2017. For 2017, Horace budgeted to produce and sell 25,000 units. The company had no price, spending, or efficiency variances and writes off production-volume variance to cost of goods sold. Actual data for 2017 are given in attatched picture:
Q.Prepare a 2017 income statement for Horace Company using absorption costing
Transcribed Image Text:Home
Insert
Page Layout
Formules
Data
21,000
1 Units produced
2 Units sold
3 Selling price
4 Variable costs:
Manufacturing cost per unit produced:
18,500
432
Direct materials
33
Direct manufacturing labor
23
Manufacturing overhead
62
Marketing cost per unit sold
10 Fixed costs:
Manufacturing costs
46
$1,550,000
906,300
11
12
Administrative costs
13
Marketing costs
1,479,000
%24
%24
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