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Is Anyone an Accountant or an Accounting Major? - Angels & Airwaves Forum - The AVA Movement


Is Anyone an Accountant or an Accounting Major?

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Is Anyone an Accountant or an Accounting Major?

by avablink182 on Wed Dec 07, 2016, 6:27pm

I need help with this problem - if anyone can help me! I've looked on google and I see the problem but not what I need for it.

"Zahra's Decoratives produces and sells a decorative pillow for $97.50 per unit. In the first month of operation, 2000 units were produced and 1750 were sold. Actual fixed costs are the same as the amount budgeted for the month. Other information for the month includes:
Variable Manufacturing Costs = $22.10 per unit
Variable Marketing Costs = $3.90 per unit
Fixed Manufacturing Costs = $13.00 per unit
Admin Expenses, all fixed = $19.50 per unit
Ending Inventories:
Direct Materials = 0
Work in Process = 0
Finished Goods = 250 units

REQUIRED:
1) Prepare an income statement using absorption costing
2. Prepare an income statement using variable costing
3. What is the explanation for the difference in income between the two methods

If anyone can help with me this I will be forever grateful!

Thank you :)
avablink182
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Re: Is Anyone an Accountant or an Accounting Major?

by Animals on Fri Dec 09, 2016, 10:52am

Haha this is what this forum has become.

"Hey guys. Can someone do my homework for me?"

This band went down the shitter years ago and the tumble weeds have been rolling through here ever since.

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