Chapter 6_Applying_Excel_Student Form.xls Chapter 6: Applying Excel Data Selling
ID: 2537272 • Letter: C
Question
Chapter 6_Applying_Excel_Student Form.xls Chapter 6: Applying Excel Data Selling price per unit Manufacturing costs: $50 Variable per unit produced: $11 $6 $3 $120,000 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead per year Selling and administrative expenses Variable per unit sold Fixed per year $4 $70,000 Year 1 Year 2 Units in beginning inventory Units produced during the year Units sold during the year 10,000 8,000 6,000 8,000 Enter a formula into each of the cells marked with a below Review Problem 1: Contrasting Variable and Absorption Costing Compute the Ending Inventory Year 1 Year 2 Units in beginning inventory Units produced during the year Units sold during the year Units in ending inventory Compute the Absorption Costing Unit Product Cost Year 1 Year 2 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Absorption costing unit product cost Construct the Absorption Costing Income Statement Year 1 Year 2 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income 2 Compute the Variable Costing Unit Product Cost Year 1 Year 2 Direct materials Direct labor Variable manufacturing overhead Variable costing unit product cost Construct the Variable Costing Income Statement Year 1 Year 2 Sales Variable expenses Variable cost of goods sold Variable selling and administrative expenses Contribution margin Fixed expenses: ad Fixed manufacturing overhe Fixed selling and administrative expenses Net operating incomeExplanation / Answer
1) ENDING INVENTORY: YEAR 1 YEAR 2 Units in beginning inventory 0 2000 Units produced during the year 10000 6000 Units sold during the year 8000 8000 Units in ending inventory 2000 0 2) ABSORPTION COSTING UNIT PRODUCT COST: Direct materials 11.00 11.00 Direct labor 6.00 6.00 Variable manufacturing overhead 3.00 3.00 Fixed manufacturing overhead 12.00 20.00 Absoption costing unit product cost 32.00 40.00 3) ABSORPTION COSTING INCOME STATEMENT: Sales 400000 400000 Cost of goods sold 256000 304000 Gross margin 144000 96000 Selling and administrative expenses 102000 102000 Net operating income 42000 -6000 4) VARIABLE COSTING UNIT PRODUCT COST: Direct materials 11.00 11.00 Direct labor 6.00 6.00 Variable manufacturing overhead 3.00 3.00 Variable costing unit product cost 20.00 20.00 5) VARIABLE COSTING INCOME STATEMENT: YEAR 1 YEAR 2 Sales 400000 400000 Variable expenses: Cost of goods sold 160000 160000 Variable selling and administrative expenses 32000 192000 32000 192000 Contribution margin 208000 208000 Fixed expenses: Fixed manufacturing overhead 120000 120000 Fixed selling and administrative expenses 70000 190000 70000 190000 Net operating income 18000 18000