Reference no: EM132510630
Following is selected data for the year ended December 31, 2020 for Fabio Manufacturing Inc.
Selling price: $30.10 per unit
Units produced 312,200; sold 276,700;
beginning inventory zeroVariable unit costs:
Manufacturing $20.60 (direct materials $10.30, direct labour $6.50, and variable overhead $3.80);
Selling and administrative expenses $5.90Fixed costs:
Manufacturing overhead $476,615, based on a budgeted volume of 328,700 units
Selling and administrative expenses $543,000
- The company expenses production volume variances to cost of goods sold in the accounting period in which they occur.
Question 1: How to calculate cost of goods sold and gross margin for this statement ? using normal costing method