Solution-Compute its operating income

Compute its operating income

Assignment Help Managerial Accounting

Reference no: EM133126964

Question - Fighting Kites produces several different kite kits. Last year, the company produced 26,000 kits and sold all but 3,000 kits. The kits sell for $28 each. Costs incurred are listed here.

Material purchased $55,000

Materials used $34,000

Other variable manufacturing costs $61,000

Fixed manufacturing costs $90,000

Variable selling costs $21,000

Fixed selling and administrative costs $95,000

If the company uses absorption costing and a denominator level of 49 000, compute its operating income?

Reference no: EM133126964

Questions Cloud

Calculate the cost of job using normal costing : Strahan Products allocates production overhead costs using direct production labour costs. Calculate the cost of job 123 using normal costing

Communication in coaching relationship : How could you use that example and experience to overcome barriers to communication in a coaching relationship?

Changes in market competition developed : During the postbellum period, changes in market competition developed in a number of major industries, especially the railroad industry throughout the nation.

Presenting a coupon or a discount code : Why do some companies give discounts upon presenting a coupon or a discount code? Why not just lower the price in the first place? Are you more likely to see th

Compute its operating income : Other variable manufacturing costs $61,000. If the company uses absorption costing and a denominator level of 49 000, compute its operating income

Value for stakeholders are able to improve profitability : We have learned that companies that are able to create value for stakeholders are able to improve profitability.

Explain the deadweight loss and inefficiency : Suppose a friend is taking an economics course at another college or university and his professor uses a different textbook. Your friend, after learning about m

What is the autarky price ratio in spain : Suppose France needs 5 units of labor to produce 2 unit of cheese (C), and 3 units of labor to produce 2 units of wine (W). Spain needs 4 units of labor to prod

Explain the income and substitution effects : Assume that the initial price level for "food" (e.g., rice, beans, flour, eggs, sugar) is 103 and the initial price level for "other stuff" (e.g., yucca, nuts,

User Account

All Pages

Compute its operating income

Reference no: EM133126964

Reference no: EM133126964

Questions Cloud

Reviews

Write a Review

Managerial Accounting Questions & Answers

Manage budgets and financial plans

Prepare a retained earnings statement

Prepare a master budget for the three-month period

Construct the companys direct labor budget

Evaluate the predetermined overhead rate

Determine the company''s bid

Compute the pool rates for the different activities

Prepare Company financial statements

Prepare an analysis of terracycles

Discuss the ethical issues

Political resources in emerging markets

Management accounting - ehsan electronics company

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT