Q.26 The following is the Standard Cost per unit of Product 'Flex' produced by G ltd. Selling Price Direct Material Direct Labour Variable Manufacturing Overhead Fixed Manufacturing overheads based on budgeted normal output of 36,000 units p.a. Variable Selling overheads Fixed Selling Overheads 40 08525 6 1,20,000 opening stock. During a particular month, Co. produced 2,000 units & sold 1,500 units. There was no Prepare Comparative income statements under marginal costing and absorption costing. [Ans. Profit under Absorption Costing: 6,000, Under Marginal Costing 3,500.]
Q.26 The following is the Standard Cost per unit of Product 'Flex' produced by G ltd. Selling Price Direct Material Direct Labour Variable Manufacturing Overhead Fixed Manufacturing overheads based on budgeted normal output of 36,000 units p.a. Variable Selling overheads Fixed Selling Overheads 40 08525 6 1,20,000 opening stock. During a particular month, Co. produced 2,000 units & sold 1,500 units. There was no Prepare Comparative income statements under marginal costing and absorption costing. [Ans. Profit under Absorption Costing: 6,000, Under Marginal Costing 3,500.]
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Q.26
The following is the Standard Cost per unit of Product 'Flex' produced by G ltd.
Selling Price
Direct Material
Direct Labour
Variable Manufacturing Overhead
Fixed Manufacturing overheads
based on budgeted normal output of 36,000 units p.a.
Variable Selling overheads
Fixed Selling Overheads
40
08525
6
1,20,000
opening stock.
During a particular month, Co. produced 2,000 units & sold 1,500 units. There was no
Prepare Comparative income statements under marginal costing and absorption costing.
[Ans. Profit under Absorption Costing: 6,000, Under Marginal Costing 3,500.]](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F9227e4ad-ea12-4439-bee5-73d73a29c963%2F85692cdf-58ae-4614-9c7f-c14cca0d73a3%2Fjgb2lij_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Q.26
The following is the Standard Cost per unit of Product 'Flex' produced by G ltd.
Selling Price
Direct Material
Direct Labour
Variable Manufacturing Overhead
Fixed Manufacturing overheads
based on budgeted normal output of 36,000 units p.a.
Variable Selling overheads
Fixed Selling Overheads
40
08525
6
1,20,000
opening stock.
During a particular month, Co. produced 2,000 units & sold 1,500 units. There was no
Prepare Comparative income statements under marginal costing and absorption costing.
[Ans. Profit under Absorption Costing: 6,000, Under Marginal Costing 3,500.]
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