Variable Costing Income Statement On November 30, the end of the first month of operations, Weatherford Company prepared the following income statement, based on the absorption costing concept: Weatherford Company Absorption Costing Income Statement For the Month Ended November 30 Sales (3,000 units) Cost of goods sold: Cost of goods manufactured (3,500 units) Inventory, November 30 (500 units) Total cost of goods sold Variable cost of goods sold: Fixed costs: $87,500 (12,500) 75,000 Gross profit $30,000 Selling and administrative expenses 17,600 Income from operations $12,400 Assume the fixed manufacturing costs were $20,125 and the fixed selling and administrative expenses were $8,620. Prepare an income statement according to the variable costing concept. Round all final answers to whole dollars. Weatherford Company Variable Costing Income Statement For the Month Ended November 30 $105,000
Variable Costing Income Statement On November 30, the end of the first month of operations, Weatherford Company prepared the following income statement, based on the absorption costing concept: Weatherford Company Absorption Costing Income Statement For the Month Ended November 30 Sales (3,000 units) Cost of goods sold: Cost of goods manufactured (3,500 units) Inventory, November 30 (500 units) Total cost of goods sold Variable cost of goods sold: Fixed costs: $87,500 (12,500) 75,000 Gross profit $30,000 Selling and administrative expenses 17,600 Income from operations $12,400 Assume the fixed manufacturing costs were $20,125 and the fixed selling and administrative expenses were $8,620. Prepare an income statement according to the variable costing concept. Round all final answers to whole dollars. Weatherford Company Variable Costing Income Statement For the Month Ended November 30 $105,000
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Variable Costing Income Statement
On November 30, the end of the first month of operations, Weatherford Company prepared the following income statement, based on the
absorption costing concept:
Weatherford Company
Absorption Costing Income Statement
For the Month Ended November 30
Sales (3,000 units)
Cost of goods sold:
Cost of goods manufactured (3,500 units)
Inventory, November 30 (500 units)
Total cost of goods sold
Gross profit
Selling and administrative expenses
Income from operations
Assume the fixed manufacturing costs were $20,125 and the fixed selling and administrative expenses were $8,620.
Prepare an income statement according to the variable costing concept. Round all final answers to whole dollars.
Weatherford Company
Variable Costing Income Statement
For the Month Ended November 30
Variable cost of goods sold:
Fixed costs:
$105,000
$87,500
(12,500)
75,000
$30,000
17,600
$12,400
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