Provide correct answer this general accounting question River stone Co. planned and actually manufactured 250,000 units of its singleproduct in 2023, its first year of operations. Variable manufacturing costs were$25 per unit of product. Planned and actual fixed manufacturing costs were$750,000, and marketing and administrative costs totalled $500,000 in 2023.River stone sold 150,000 units of product in 2023 at a selling price of $45 perunit. What is River stone's 2023 operating income using variable costing?

Step 1: Define Operating Income under Variable CostingOperating income under variable costing is…

Answered: River stone Co. planned and actually…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Hamilton Inc. planned and actually manufactured 250,000 units of its single product in 2022, its first year of operation. Variable manufacturing cost was $19 per unit produced. Variable operating (non-manufacturing) cost was $10 per unit sold. Planned and actual fixed manufacturing costs were $750,000. Planned and actual fixed operating (non-manufacturing) costs totalled $370,000. Hamilton sold 110,000 units of product at $45 per unit. Required 1. Hamilton's 2022 operating income using absorption costing is (a) $4,700,000, (b) $1,060,000, (c) $640,000, (d) $(2,580,000), or (e) none of these. Show supporting calculations. 2. Hamilton's 2022 operating income using variable costing is (a) $4,700,000, (b) $1,060,000, (c) $640,000, (d) $(2,580,000), or (e) none of these. Show supporting calculations. Requirement 1. Hamilton's 2022 operating income using absorption costing is (a) $1,060,000, (b) $640,000, (c) $4,700,000, (d) $(2,580,000), or (e) none of these. Show supporting calculations.…
Can you please solve this general accounting problem?
Galaxy Pens Ltd. produces pens at a factory designed to produce 15 million pens per year. In 2023, the fixed production overhead related to the factory was $1.8 million, and the factory produced 13 million pens. The inventory cost for each pen related to the fixed production overhead is closest to? a. $0.12 b. $0.14 c. $0.13
Ridgeline Plastics manufactures high-strength plastics for aerospace components. In 2021, the company produced 6,000 tons of plastic but sold 3,800 tons. In 2022, it produced the same amount but sold 7,500 tons (selling all its inventory). The selling price per ton was $1,950, variable manufacturing costs per ton were $450, and variable selling expenses were $550 per ton. Fixed manufacturing costs were $4,200,000, and fixed administrative expenses were $700,000. Compute net income under variable costing for 2021.
Music Incorporated planned and manufactured 259,500 units of its single product in 2022, its first year of operations. Variable manufacturing costs were $49 per unit of production. Planned and actual fixed manufacturing costs were $619,000. Marketing and administrative costs (all fixed) were $309,500 in 2022. Music Incorporated sold 209,500 units of product in 2022 at $79 per unit. Variable costing operating income for 2022 is calculated to be: (Do not round intermediate calculations. Round your final answers to whole dollar amounts.)
Garrison Industries produces synthetic rubber used for industrial applications such as conveyor belts. In 2020, the first year of operations, Garrison produced 5,500 tons of rubber and sold 3,200 tons. In 2021, the company produced the same amount of rubber, and sales were 6,500 tons (i.e., the company sold all of its inventory). In each year, the selling price per ton was $2,500, variable manufacturing costs per ton of rubber were $500, and variable selling expenses were $700 for each ton of rubber sold. Fixed manufacturing costs were $5,500,000, and fixed administrative expenses were $650,000. What is the unit manufacturing cost under absorption costing in the year 2021?
Garrison Industries produces synthetic rubber used for industrial applications such as conveyor belts. In 2020, the first year of operations, Garrison produced 5,500 tons of rubber and sold 3,200 tons. In 2021, the company produced the same amount of rubber, and sales were 6,500 tons (i.e., the company sold all of its inventory). In each year, the selling price per ton was $2,500, variable manufacturing costs per ton of rubber were $500, and variable selling expenses were $700 for each ton of rubber sold. Fixed manufacturing costs were $5,500,000, and fixed administrative expenses were $650,000. What is the unit manufacturing cost under absorption costing in the year 2021? need Answer
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Sandhill Co. had a net loss of $152,000 in 2021 when the selling price per unit was $40, the variable costs per unit were $20, and the fixed costs were $602,000. Management expects per unit data and total fixed costs to be the same in 2022. Management has set a goal of earning a net income of $77,500 in 2022. (a) Compute the units sold in 2021. Units sold in 2021 Save for Later units Attempts: 0 of 1 used Submit Answer
Skysong, Inc. is a company that manufactures and sells a single product. Unit sales for each of the four quarters of 2025 are projected as follows. Quarter Units First 91,200 Second 171,000 Third 627,000 Fourth 136,800 Annual total 1,026,000 Skysong incurs variable manufacturing costs of $0.40 per unit and variable nonmanufacturing costs of $0.40 per unit. Skysong will incur fixed manufacturing costs of $820,800 and fixed nonmanufacturing costs of $1,231,200. Skysong will sell its product for $4 per unit. (a) Determine the amount of net income Skysong will report in each of the four quarters of 2025, assuming actual sales are as projected and employing the integral approach to interim financial reporting. (Ignore income taxes.) Repeat the analysis under the discrete approach. (Round answers to O decimal places, e.g. 5,125. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) 1st Quarter Income before taxes (Integral Approach)…
You are given the following information about Zephyr Company in 2021: The Company’s fixed costs are expected to be $195,000, the selling price per unit is $17, and the variable cost per unit is $5. The company wants to earn a net income of $84,000 during 2021. The required sales units to meet the target net income during 2021 is _.

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