Maher Corporation, which has only one product, has provided the following data concerning its most recent month of operations:         Selling price $ 192       Units in beginning inventory   0 Units produced   3,660 Units sold   3,430 Units in ending inventory   230       Variable costs per unit:     Direct materials $ 52 Direct labor $ 53 Variable manufacturing overhead $ 15 Variable selling and administrative expense $ 18 Fixed costs:     Fixed manufacturing overhead $ 135,420 Fixed selling and administrative $ 13,720     Required: a. What is the unit product cost for the month under variable costing? b. What is the unit product cost for the month under absorption costing? e. Reconcile the variable costing and absorption costing net operating incomes for the month. Costing Net Operating Incomes Variable costing net operating income (loss)       Absorption costing net operating income (loss)

Cornerstones of Cost Management (Cornerstones Series)
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Chapter2: Basic Cost Management Concepts
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Maher Corporation, which has only one product, has provided the following data concerning its most recent month of operations:

 

     
Selling price $ 192
     
Units in beginning inventory   0
Units produced   3,660
Units sold   3,430
Units in ending inventory   230
     
Variable costs per unit:    
Direct materials $ 52
Direct labor $ 53
Variable manufacturing overhead $ 15
Variable selling and administrative expense $ 18
Fixed costs:    
Fixed manufacturing overhead $ 135,420
Fixed selling and administrative $ 13,720
 

 

Required:

a. What is the unit product cost for the month under variable costing?

b. What is the unit product cost for the month under absorption costing?

e. Reconcile the variable costing and absorption costing net operating incomes for the month.

Costing Net Operating Incomes
Variable costing net operating income (loss)  
   
Absorption costing net operating income (loss)  
 
 
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