Reference no: EM132561996

The following data was prepared by the Oriole Company.

                                                      Total                         Variable                             Fixed

Sales price                             $22/unit

Direct materials used                  $82,650

Direct labor                                $96,000

Manufacturing overhead               $99,600                 $9,600                     $90,000

Selling/administrative expense            $22,700             $13,100                   $9,600

Units manufactured                          18,000 units

Beginning Finished Goods Inventory     19,200 units

Ending Finished Goods Inventory           24,500 units

Question 1: Under absorption costing, what is the unit product cost? (Round answer to 2 decimal places, e.g. 15.25.)

Question 2: Under variable costing, what is the unit product cost? (Round answer to 2 decimal places, e.g. 15.25.)

Question 3: Under absorption costing, what is the cost of goods sold? (Round cost per unit to 2 decimal places, e.g. 2.52 and final answer to 0 decimal place, e.g. 2,152.)

Question 4: Under variable costing, what is the cost of goods sold? (Round cost per unit to 2 decimal places, e.g. 2.52 and final answer to 0 decimal place, e.g. 2,152.)

Question 5: Under absorption costing, what is the operating income? (Round cost per unit to 2 decimal places, e.g. 2.52 and final answer to 0 decimal place, e.g. 2,152.)

Question 6: Under variable costing, what is the operating income? (Round cost per unit to 2 decimal places, e.g. 2.52 and final answer to 0 decimal place, e.g. 2,152.)

Question 7: Calculate the difference in operating income under absorption costing versus variable costing. (Round cost per unit to 2 decimal places, e.g. 2.52 and final answer to 0 decimal place, e.g. 2,152.)

Question 8: Difference between absorption and variable costing income$