Absorption Costing Income Statement On March 31, the end of the first month of operations,...
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Accounting
Absorption Costing Income Statement
On March 31, the end of the first month of operations, Sullivan Equipment Company prepared the following income statement, based on the variable costing concept:
Sullivan Equipment Company Variable Costing Income Statement For the Month Ended March 31
Sales (13,000 units)
$572,000
Variable cost of goods sold:
Variable cost of goods manufactured
$266,400
Inventory, March 31 (1,800 units)
(32,400)
Total variable cost of goods sold
234,000
Manufacturing margin
$338,000
Variable selling and administrative expenses
143,000
Contribution margin
$195,000
Fixed costs:
Fixed manufacturing costs
$59,200
Fixed selling and administrative expenses
39,000
Total fixed costs
98,200
Income from operations
$96,800
Prepare an income statement under absorption costing. Round all final answers to whole dollars.
Sullivan Equipment Company
Absorption Costing Income Statement
For the Month Ended March 31
$
Cost of goods sold:
$
$
$
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