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  3. beginning inventory 0 units produced 25,300 unit

Beginning inventory 0 Units produced 25,300 Units sold 20,700 Selling price per...

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Accounting

Beginning inventory 0

Units produced 25,300

Units sold 20,700

Selling price per unit $422

Selling and administrative expenses:

Variable per unit $15

Fixed (total) $393,300

Manufacturing costs:

Direct materials cost per unit $249

Direct labor cost per unit $53

Variable manufacturing overhead cost per unit $36

Fixed manufacturing overhead (total) $354,200

a.) Compute the cost of a single unit of the product under both the absorption costing and variable costing approaches. (Omit the "$" sign in your response.)

b.

Prepare an income statement for the year using absorption costing. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the "$" sign in your response.)

c.

Prepare a contribution format income statement for the year using variable costing. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the "$" sign in your response.)

d.

Reconcile the absorption costing and variable costing net operating income figures in (b) and (c) above. (Omit the "$" sign in your response.)

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