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Question - Following is the revenue and cost data for Barian Ltd. in the manufacturing of luxury shower curtains for the year ended December 31, 2020:
Variable manufacturing costs $30 per curtain
Fixed manufacturing overhead $65,600
Variable selling and administrative expenses $6 per curtain
Fixed selling and administrative expenses $180,500
Selling price $82 per curtain
Units produced and sold 8,200
Required -
1. Prepare an income statement using absorption costing.
2. Prepare an income statement using variable costing.
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