Determine hasselbacks profit using throughput costing

Reference no: EM13172148

Hasselback, Inc., produced 175,000 units and prepared the following income report using absorption costing (numbers in $1,000s):

Sales (100,000 Units)		$15,000
Less Cost of Goods Sold
Direct Materials	$1,200
Direct Labor	300
Unit-related overhead	900
Other overhead	4,000	6,400
Gross Margin		8,600
Less other operating costs
Variable Selling & Administrative		600
Fixed Selling & Administrative		2,000
Profit		$6,000

Required:

1. Determine Hasselback's profit using unit-variable costing.

2. Determine Hasselback's profit using throughput costing.

3. Which method do you think presents the most reliable picture of current earnings? Why?

Reference no: EM13172148

Questions Cloud

Explain what is the aluminum ion : what is the aluminum ion, Al3+, concentration if the cell potential is 0.447 V and the manganese (II) ion concentration is 0.10 M?

What is the pressure of the gas in this mercury manometer : What is the pressure of the gas in this mercury manometer if h = 49 mm and atmospheric pressure

Calculate the heat energy released : Calculate the heat energy released when 10.3 g of liquid mercury at 25.00 °C is converted to solid mercury at its melting point. Constants for Mercury at 1 atm: Heat capacity: 28.0 J/(mol*K) Melting Point: 234.32 K Enthalpy of fusion

Calculate the partial pressure of each gas in the container : Three gases (8.00 g of methane, 18.0 g of ethane, and an unknown amount of propane were added to the same 10.0-L container. At 23.0 degrees C, the total pressure in the container is 4.50 atm. Calculate the partial pressure of each gas in the conta..

Determine hasselbacks profit using throughput costing : Determine Hasselback's profit using throughput costing and which method do you think presents the most reliable picture of current earnings?

What is the molarity of a calcium hydroxide solution : What is the molarity of a calcium hydroxide solution if a 25.0 mL sample is exaclty neutralized by 42.5 mL of 0.0750 M nitric acid?

Express the mass of water numerically in grams : Calculate the mass of water produced when 9.11 g of butane reacts with excess oxygen. Express the mass of water numerically in grams.

How to calculate the concentration of ammonium ions : A solution is prepared by dissolving 18.4 g ammonium sulfate in enough water to make 100.0 mL of stock solution. A 11.00 mL sample of this stock solution is added to 50.00 mL of water. Calculate the concentration of ammonium ions and sulfate ions ..

What is the growth rate in sales for the past three years : What is the growth rate in sales for the past three years and are revenues and expenses growing at the same rate? What was the experience in the past few years?

User Account

All Pages