50.1K

Verified Solution

Link Copied!

Dance Creations manufactures authentic Hawailan hula skirts that are purchased for traditional Hawailan celebrations, costume parties, and other functions. During its first year of business, the comnanu inm. rred the following costs: Dance Creations charges $35 for each skirt that it sells. During the first month of operation, it made 1,800 skirts and sold 1,680 . Required: 1. Assuming Dance Creations uses variable costing. calculate the variable manufacturing cost per unit for last month. 2. Complete a contribution margin income statement for the last month. 3. Assuming Dance Creations uses full absorption costing. calculate the full manufacturing cost per unit for the last month 4. Complete a full absorption costing income statement. 6. Suppose next month Dance Creations expects to produce 1,800 hula skirts and sell 1,900 . Without recreating the new income statements, calculate the difference in profit between variable costing and full absorption costing. Which would be higher? Complete this question by entering your answers in the tabs below. Assuming Dance Creations uses variable costing, calculate the variable manufacturing cost per unit for last month. Note: Round your answer to 2 decimal places. Dance Creations charges $35 for each skirt that it sells. During the first month of operation, it made 1800 skirts and soid 1,680 Required: 1. Assuming Dance Creations uses variable costing. calculate the variable manufacturing cost per unit for last month. 2. Complete a contribution margin income statement for the last month. 3. Assuming Dance Creations uses full absorption costing. calculate the full manufacturing cost per unit for the last month. 4. Complete a full absorption costing income statement. 6. Suppose next month Dance Creations expects to produce 1,800 hula skirts and sell 1,900. Without recreating the new income statements, calculate the difference in profit between variable costing and full absorption costing. Which would be higher? Complete this question by entering your answers in the tabs below. Assuming Dance Creations uses full absorption costing, calculate the full manufacturing cost per unit for the last month. Note: Round your intermediate calculations and final answer to 2 decimal places. Required: 1. Assuming Dance Creations uses variable costing. calculate the variable manufacturing cost per unit for last month. 2. Complete a contribution margin income statement for the last month. 3. Assuming Dance Creations uses full absorption costing. calculate the full manufacturing cost per unit for the last month. 4. Complete a full absorption costing income statement. 6. Suppose next month Dance Creations expects to produce 1,800 hula skirts and sell 1,900. Without recreating the new income statements, calculate the difference in profit between variable costing and full absorption costing. Which would be higher? Complete this question by entering your answers in the tabs below. Suppose next month Dance Creations expects to produce 1,800 hula skirts and sell 1,900 . Without recreating the new income statements, calculate the difference in profit between variable costing and full absorption costing. Which would be higher? Note: Round your final answer to nearest whole dollar. Dance Creations charges $35 for each skirt that it seit Required: 2. Complete a contribution mases variable costing, calculate the variable mainuloctuing cost per unit for last munth 3. Assuming Dance Creations uses full absotption costing. caiculate the full manufacturing cost per unit for the last inonth 4. Complete a full absorption costing income statement. 6. Suppose next month Dance Creations expects to produce 1,800 hula skirts and sell 1,900. Without iecreating the new incomic. statements, calculate the difference in profit between variable costing and full absorption costing Which would be higher? Complete this question by entering your answers in the tabs below. \begin{tabular}{|l|l|l|l|} \hline Required 1: Required 2 & Required 3 Required 4 Required 6 \\ \hline \end{tabular} Complete a contribution margin income statement for the last month. \begin{tabular}{|l|l|} \hline \multicolumn{2}{|c|}{ Dance Creations } \\ \hline \multicolumn{1}{|c|}{ Contribution Margin Income Statement } \\ \hline \\ \hline \end{tabular} 6 Required 1 Required 3 > Fixed selling and admindstrative expenses Dance Creations charges $35 for each skirt that it sells. During Soms Required: 2. Complete a contribution margin income costing, calculate the variable manufacturing cost per unit for last month. 3. Assuming Dance Creations uses full abso statement for the last month. 4. Complete a full absorption costing income stat costing, calculate the full manufacturing cost per unit for the last month. 6. Suppose next month Dance Cieatincome statement. statements, calculate the difference in profit betts to produce 1,800 hula skirts and sell 1,900 . Without recreating the new income Complete this question by entering your answers in the tabs below. Complete a full absorption costing income statement. Note: Round your intermediate calculations to 2 decimal places, Round your final answer to nearest whole dollar

Answer & Explanation Solved by verified expert

See Answer