Q1

Q2

Q3

Beginning inventory (units)

0

J

1,100

Budgeted units to be produced

20,000

20,000

20,000

Actual units produced

19,000

20,600

Q

Units sold

A

20,600

R

Variable manufacturing costs per unit produced

$150

$150

$150

Variable marketing costs per unit sold

$20

$20

$20

Budgeted fixed manufacturing costs

$500,000

$500,000

$500,000

Fixed marketing costs

$200,000

$200,000

$200,000

Selling price per unit

$300

$300

$300

Variable costing operating income

B

$1,978,000

S

Absorption costing operating income

C

K

$1,859,000

Variable costing beginning inventory ($)

D

$165,000

T

Absorption costing beginning inventory ($)

E

L

U

Variable costing ending inventory ($)

F

M

$75,000

Absorption costing ending inventory ($)

G

N

$87,500

PVV

H

O

V

Allocated fixed manufacturing costs

I

P

$480,000

Q1

Q2

Q3

A

J

Q

B

K

R

C

L

S

D

M

T

E

N

U

F

O

V

G

P

H

I