mazin' 69 Corp. reports the following information for May: Information Amount Sales Revenue $720,300 Variable Cost of Goods Sold $148,600 Fixed Cost of Goods Sold $116,000 Variable Selling and Administrative Costs $105,300 Fixed Selling and Administrative Costs $71,900 1. Calculate the gross profit and operating income for May using absorption costing. 2. Calculate the contribution margin and operating income for May using variable costing.
mazin' 69 Corp. reports the following information for May: Information Amount Sales Revenue $720,300 Variable Cost of Goods Sold $148,600 Fixed Cost of Goods Sold $116,000 Variable Selling and Administrative Costs $105,300 Fixed Selling and Administrative Costs $71,900 1. Calculate the gross profit and operating income for May using absorption costing. 2. Calculate the contribution margin and operating income for May using variable costing.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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mazin' 69 Corp. reports the following information for May:
| Information | Amount |
|---|---|
| Sales Revenue | $720,300 |
| Variable Cost of Goods Sold | $148,600 |
| Fixed Cost of Goods Sold | $116,000 |
| Variable Selling and Administrative Costs | $105,300 |
| Fixed Selling and Administrative Costs | $71,900 |
1. Calculate the gross profit and operating income for May using absorption costing.
2. Calculate the contribution margin and operating income for May using variable costing.
Transcribed Image Text:Cost of Goods Sold
Gross Profit
Selling and Administrative Costs:
Operating Income
2. Calculate the contribution margin and operating income for May using variable costing.
Variable Costs
Contribution Margin
Fixed Costs
Amazin' 69 Corp.
Income Statement
For Month Ending May 31, 20XX
Amazin' 69 Corp.
Contribution Margin Income Statement
For Month Ending May 31, 20XX
Operating Income
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