Acc346 Managerial Accounting (Week 6 Quiz) - The following information relates to Vice Versa Ventures

Acc346 Managerial Accounting (Week 6 Quiz)

(TCO 5) The following information relates to Vice Versa Ventures for calendar year 20XX, the company's first year of operations:

Units produced                20,000

Units sold                17,000

Selling price per unit                      35

Direct material per unit                        5

Direct labor per unit                        5

Variable manufacturing overhead per unit                        2

Variable selling cost per unit                        3

Annual fixed manufacturing overhead              160,000

Annual fixed selling and administrative expense                80,000

(a) Prepare an income statement using full costing.

(b) Prepare an income statement using variable costing.

Tutorial:  Vice Versa Ventures