Prepare an income statement for the year ended December 31, 2012, through gross
ID: 2492432 • Letter: P
Question
Prepare an income statement for the year ended December 31, 2012, through gross profit for Aframe Company using the following information. Assume Aframe Company sold 2,800 units at $171 per unit. (Note: Normal production is 9,000 units)
Standard: 3 yards per unit @ $6.70 per yard Actual yards used: 8,320 yards @ $6.65 per yard Standard: 5 hours per unit @ $16.70 Actual hours worked: 13,720 @ $16.90 per hour Standard: Variable overhead $2.65 per unit Standard: Fixed overhead $1.40 Actual total factory overhead $19,400 (budgeted and actual amount)
income statement through gross profit for the year ended december 31, 2012
Explanation / Answer
Income Statement for the Year ended Dec 31.2012. Details Per Unit$ Total Amt for 2800 Units Sales Revenue 171.00 478,800 Less Cost Of Goods Sold Direct Materials 19.76 55,328 Direct Labor 82.81 231,868 Total Factory Overhead 19,400 Total Cost of Goods Sold 306,596 Gross Profit 172,204