The Alamo Company reports the actual data for 2023 and 2022. There are no price, efficiencyor rate variances. Any production volume varlances are written off to Cost of Goods Sold in theyear it occurs.Unit DataBeginning InventoryProductionBudgeted ProductionSalesVariable costsManufacturing cost per unit producedOperating (marketing) cost per unit soldFixed costsManufacturing costsOperating (marketing) costsSelling price per unit$ss$$ss$$2021109001,200880350 $40 $69,600 $8,400 $800 $2022301,0001,2009503554269,6008,400800Requireda. Prepare a statement of comprehensive income for each year using variable costing andabsorption costing.b.Reconcile the difference between the operating incomes for each year; ensure to reportthe number of units for beginning and ending inventory for Fixed Manufacturing costs.

Variable Costing Techniques Variable costing, commonly referred to as direct costing, is an…

Selling price per unit $ 800 $ 800 Required a. Prepare a statement of comprehensive income for each year using variable costing and absorption costing. b. Reconcile the difference between the operating incomes for each year; ensure to report the number of units for beginning and ending inventory for Fixed Manufacturing costs.

Selling price per unit $ 800 $ 800 Required a. Prepare a statement of comprehensive income for each year using variable costing and absorption costing. b. Reconcile the difference between the operating incomes for each year; ensure to report the number of units for beginning and ending inventory for Fixed Manufacturing costs.

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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