What is the net income under absorption costing for this general accounting question? Jenkins Corporation reported a net income of $780,000 undervariable costing. Beginning and ending inventories were 48,000units and 45,000 units, respectively. The fixed overhead perunit was $2.00 for both the beginning and ending inventory.What is the net income under absorption costing?

Step 1: Define Variable and Absorption CostingUnder variable costing, fixed manufacturing overhead…

Answered: Jenkins Corporation reported a net…

Principles of Accounting Volume 2

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Chapter5: Process Costing

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Problem 6EB: What are the total costs to account for if a companys beginning inventory had $23,432 in materials...

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The following data were adapted from a recent income statement of Caterpillar Inc. (CAT) for the year ended December 31: Assume that 8,500 million of cost of goods sold and 4,000 million of selling, administrative, and other expenses were fixed costs. Inventories at the beginning and end of the year were as follows: Also, assume that 30% of the beginning and ending inventories were fixed costs. a. Prepare an income statement according to the variable costing concept for Caterpillar Inc. Round numbers to nearest million. b. Explain the difference between the amount of operating income reported under the absorption costing and variable costing concepts. Round numbers to nearest million.
Last year, Orsen Company produced 25,000 juicers and sold 26,500 juicers for 60 each. The actual variable unit cost is as follows: Fixed overhead was 320,000. Fixed selling expenses consisted of advertising copayments totaling 110,000. Fixed administrative expenses were 236,000. There were no beginning and ending work-in-process inventories. Beginning finished goods inventory was 148,000 for 4,000 juicers. The value of ending inventory reported on the financial statements was Refer to the information in 2.24. The gross margin percentage for last year was a. 12.57% b. 55.67% c. 28.95% d. 38.33%
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During the current period, 14,000 units were produced and 12,000 units were sold. Fixed manufacturing costs incurred amounted to $126,000. An absorption costing income statement would report fixed manufacturing costs as which of the following? Select one: a.Costs of $108,000 as a deduction from gross profit to obtain operating income b.Overhead of $126,000 as a deduction from sales revenue to obtain gross profit c.Overhead of $108,000 as a deduction from sales revenue to obtain gross profit d.Costs of $126,000 as a deduction from sales revenue to obtain contribution margin
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Circetrax, Inc. has provided the following financial information for the year: Finished Goods Inventory: Beginning balance, in units Units produced Units sold Ending balance, in units Production costs: Variable manufacturing costs per unit Total fixed manufacturing costs What is the unit product cost for the year using absorption costing? OA. $117 630 1,400 1,500 530 $50 $42,000 W

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Jenkins Corporation reported a net income of $780,000 under variable costing. Beginning and ending inventories were 48,000 units and 45,000 units, respectively. The fixed overhead per unit was $2.00 for both the beginning and ending inventory. What is the net income under absorption costing?