Walsh Company manufactured 30,000 units during July. There were no units in inventoryon July 1. Costs and expenses for July were as follows:TotalNumberUnitCostof UnitsCostManufacturing costs:Variable$660,00030,000$22.00Fixed300,00030,00010.00Total..$960,000Selling and administrative expenses:Variable$200,000Fixed160,000Total.$360,000If the company sells 25,000 units at $75 (units manufactured exceed units sold), prepare anincome statement for July using:b. Variable costing

Under variable costing, manufactured units, closing and starting units are not considered entire…

Answered: Walsh Company manufactured 30,000 units…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (17,800 units): Direct materials $174,400 Direct labor 236,500 Variable factory overhead 255,100 Fixed factory overhead 98,000 $764,000 Operating expenses: Variable operating expenses $129,200 Fixed operating expenses 49,100 178,300 If 1,700 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is Oa. $63,614 Ob. $72,966 Oc. $89,995 Od. $75,946
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (19,700 units): Direct materials $181,900 Direct labor 237,500 Variable factory overhead 254,900 Fixed factory overhead 93,200 $767,500 Operating expenses: Variable operating expenses $121,300 Fixed operating expenses 43,000 164,300 If 1,800 units remain unsold at the end of the month, the amount of inventory that would be reported on the absorption costing balance sheet is Oa. $61,611 Ob. $85,139 Oc. $72,694 Od. $70,128
Walsh Company manufactured 30,000 units during July. There were no units in inventory on July 1. Costs and expenses for July were as follows: Total Num Total Cost Number of Units Unit Cost Manufacturing costs: Variable $660,000 30,000 $22.00 Fixed 300,000 30,000 10.00 Total 960,000 Selling and administrative expenses: Variable $200,000 Fixed 160,000 Total. $360,000 If the company sells 25,000 units at $75 (units manufactured exceed units sold), prepare an income statement for July using: b. Variable costing
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (19,800 units): Direct materials $177,000 Direct labor 227,000 Variable factory overhead 261,600 Fixed factory overhead 100,400 $766,000 Operating expenses: Variable operating expenses $132,300 Fixed operating expenses 42,700 175,000 If 1,800 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is a. $60,498 b. $72,536 Oc. $69,636 O d. $85,545
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (19,200 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead Operating expenses: Variable operating expenses $174,500 232,600 249,000 104,200 $760,300 $134,700 43,300 Fixed operating expenses 178,000 If 1,700 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is O a. $67,318 O b. $70,019 O c. $58,089 O d. $83,079
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (17,100 units): Direct materials $184,100 Direct labor 222,200 Variable factory overhead 241,500 Fixed factory overhead 104,400 $752,200 Operating expenses: Variable operating expenses $126,900 Fixed operating expenses 46,600 173,500 If 1,700 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is:
The following information pertains to Vladamir, Inc., for last year: Beginning inventory, units Units produced 1,400 100,000 Units sold 101,000 Variable costs per unit: Direct materials $8.00 Direct labor $9.00 Variable overhead $1.00 Variable selling expenses $2.00 Fixed costs per year: Fixed overhead $300,000 Fixed selling and administrative expenses $230,000 There are no work-in-process inventories. Normal activity is 100,000 units. Expected and actual overhead costs are the same. Costs have not changed from one year to the next. Required: 1. How many units are in ending inventory? 2. Without preparing an income statement, indicate what the difference will be between variable-costing income and absorption-costing income. 3. Assume the selling price per unit is $32. Prepare an income statement using (a) variable costing and (b) absorption costing.
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A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (20,500 units): Direct materials $178,500 Direct labor 221,200 Variable factory overhead 264,800 Fixed factory overhead 93,600 $758,100 Operating expenses: Variable operating expenses $130,600 Fixed operating expenses 45,000 175,600 If 1,500 units remain unsold at the end of the month, what is the amount of inventory that would be reported on the variable costing balance sheet? a.$55,471 b.$58,178 c.$68,320 d.$48,630
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (20,700 units): Direct materials $179,300 Direct labor 234,800 Variable factory overhead 268,300 Fixed factory overhead 103,400 $785,800 Operating expenses: Variable operating expenses $124,300 Fixed operating expenses 48,100 172,400 If 1,900 units remain unsold at the end of the month, the amount of inventory that would be reported on the absorption costing balance sheet is Oa. $72,124 Ob. $74,045 Oc. $87,951 Od. $62,636
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (10,000 units): Direct materials Direct labor $170,000 360,000 Variable factory overhead 190,000 Fixed factory overhead 50,000 $770,000 Operating expenses: Variable operating expenses Fixed operating expenses $60,000 18,000 78,000 If 500 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is a. $36,000 b. $41,500 c. $38,500 d. $42,800

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