Sam Darnold Company produces a single product called INT6, this company has provided the following data concerning its most recent month of operations: Selling price Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expense The company pro $ $ $ $ 138 395 6,728 6,870 245 48 21 3 19 $147,840 $103,050

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Sam Darnold Company produces a single product called INT6, this company has provided the following data
concerning its most recent month of operations:
Selling price
Units in beginning inventory
Units produced
Units sold
Units in ending inventory
Variable costs per unit:
Direct materials
Direct labor
Variable manufacturing overhead
Variable selling and administrative expense
Fixed costs:
Fixed manufacturing overhead
Fixed selling and administrative expense
$
$
$
Required A Required B.
130
395
Complete this question by entering your answers in the tabs below.
Variable expenses
6,728
6,870
245
48
21
3
The company produces the same number of units every month, although the sales in units vary from month to month. The company's
variable costs per unit and total fixed costs have been constant from month to month.
19
$147,840
$103,050
Required:
a. Prepare a contribution format income statement for the month using variable costing.
b. Prepare an income statement for the month using absorption costing.
Prepare a contribution format income statement for the month using variable costing.
Variable Costing Income Statement
Transcribed Image Text:Sam Darnold Company produces a single product called INT6, this company has provided the following data concerning its most recent month of operations: Selling price Units in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expense $ $ $ Required A Required B. 130 395 Complete this question by entering your answers in the tabs below. Variable expenses 6,728 6,870 245 48 21 3 The company produces the same number of units every month, although the sales in units vary from month to month. The company's variable costs per unit and total fixed costs have been constant from month to month. 19 $147,840 $103,050 Required: a. Prepare a contribution format income statement for the month using variable costing. b. Prepare an income statement for the month using absorption costing. Prepare a contribution format income statement for the month using variable costing. Variable Costing Income Statement
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