Maurice Tutor

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Category > Accounting Posted 12 Aug 2017 My Price 7.00

Richards Corp.

Please help me with this Ex. E10-3. The chief executive officer of Richards Corp. attended a conference in which one of the sessions was devoted to variable costing. The CEO was impressed by the presentation and has asked that the folowing data of Richards Corp. be used to prepare comparative statements using variable costing and the company's absortion costing. The data follow: Direct materias-$90,000, Direct labor -120,000, variable factory overhead-60,000, fixed factory overhead-150,000, Fixed marketing and administrative expense-180,000. The factory produced 80,000 units during the period, and 70,000unit were sold for $70,000.

1. Prepare an income statement using variable costing?

2. Prepare an income statement using absorption costing. (Round unit costs to three decimal places.)?

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Maurice Tutor
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Status NEW Posted 12 Aug 2017 12:08 AM My Price 7.00

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