Maurice Tutor

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Teaching Since: May 2017
Last Sign in: 401 Weeks Ago, 2 Days Ago
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 15 Aug 2017 My Price 6.00

Variable versus absorption

Variable versus absorption costing Colorado Business Tools, manufactures calculators. Costs incurred in making 9,500 calculators in February included 29,450 of fixed manufacturing overhead. The total absorption cost per calculator was $10.25.

 

 

Required:

a.       Calculate the variable cost per calculator.

b.      The ending inventory of pocket calculators was 750 units higher at the end  of the month than at the beginning of the month. By how much and in what direc- tion (higher or lower) would operating income for the month of February be dif- ferent under variable costing than under absorption costing?

c.       Express the pocket calculator cost in a cost formula.

Answers

Maurice Tutor
(5)
Status NEW Posted 15 Aug 2017 11:08 AM My Price 6.00

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