Variable costing income statement reconciliationwhitman

Assignment Help Financial Accounting

Reference no: EM13379751

Variable Costing Income Statement; Reconciliation

Whitman Company has just completed its first year of operations. The company's absorption costing income statement for the year appears below:

655_What was the relation between unit sales2.png

The company's selling and administrative expenses consist of $210,000 per year in fixed expenses and $2 per unit sold in variable expenses. The $16 per unit product cost given above is computed as follows:

1029_What was the relation between unit sales3.png

Required:

1. Redo the company's income statement in the contribution format using variable costing.
2. Reconcile any difference between the net operating income on your variable costing income statement and the net operating income on the absorption costing income statement above

Reference no: EM13379751

Questions Cloud

Hightech inc and oldtime co complete within the same : hightech inc. and oldtime co. complete within the same industry and had the following operating results in

Body sculpture inc makes three models of high-performance : body sculpture inc. makes three models of high-performance weight-training benches. current operating data are

Variable and absorption costing unit product costs and : variable and absorption costing unit product costs and income statements explanation of difference in net operating

Evaluating absorption and variable costing as alternative : evaluating absorption and variable costing as alternative costing methodsthe questions below pertain to two different

Variable costing income statement reconciliationwhitman : variable costing income statement reconciliationwhitman company has just completed its first year of operations. the

Reconciliation of absorption and variable costing net : reconciliation of absorption and variable costing net operating incomesjorgansen lighting inc. manufactures heavy-duty

Marks hospital contains 450 beds the average occupancy rate : marks hospital contains 450 beds. the average occupancy rate is 80 per month. in other words on average 80 of the

Question 1 fixed and variable cost behaviorespresso express : question 1 fixed and variable cost behaviorespresso express operates a number of espresso coffee stands in busy

Part-1process costing and job-order costingwhich method of : part-1process costing and job-order costingwhich method of determining product costs job-order costing or process

User Account

All Pages