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Alex787 [66]
3 years ago
12

During the first month of operations ended July 31, YoSan Inc. manufactured 2,400 flat panel televisions, of which 2,000 were so

ld. Operating data for the month are summarized as follows: Sales$2,150,000 Manufacturing costs: Direct materials$960,000 Direct labor420,000 Variable manufacturing cost156,000 Fixed manufacturing cost288,0001,824,000 Selling and administrative expenses: Variable$204,000 Fixed96,000300,000 Required: 1. Prepare an income statement based on the absorption costing concept.
Business
1 answer:
photoshop1234 [79]3 years ago
3 0

Answer:

Instructions are below.

Explanation:

Giving the following information:

Units manufactured= 2,400

Units sold= 2,000

Sales= $2,150,000

Manufacturing costs:

Direct materials= $960,000

Direct labor= $420,000

Variable manufacturing cost= $156,000

Fixed manufacturing cost= $288,000

Total= $1,824,000

Selling and administrative expenses:

Variable= $204,000

Fixed= $96,000

Total= $300,000

<u>Under the absorption costing, the cost of goods sold is calculated using the direct materials, direct labor, and total unitary manufacturing overhead.</u>

First, we need to calculate the cost of goods sold:

Unitary product cost= total cost/units produced

Unitary product cost= 1,824,000/2,400= $760

Now, we can determine the net operating income:

Sales= 2,150,000

COGS= (2,000*760)= (1,520,000)

Gross profit= 630,000

Total Selling and administrative expenses= (300,000)

Net operating income= 330,000

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If these two conditions are not satisfied then the contingent liability may simply be disclosed as a footnote in the financial statement. The amount here is not estimable so can be disclosed as a footnote.

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3 years ago
2. Explain the strengths of a sole proprietorship and wn
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Explanation:

strengths:

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4.there is unlimited liability

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2 years ago
A customer wishes to place a buy order for a security that has not been registered with the SEC. The security may be purchased i
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Complete Question:

A customer wishes to place a buy order for a security that has not been registered with the SEC. The purchase order can be filled if the security:

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C. has been trading in the market for at least 1 year

D. is sold to professional investors

Answer:

Is exempt from SEC registration

Explanation:

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If a customer wishes to place a buy order for a security that has not been registered with the Securities and Exchange Commission (SEC). The security may be purchased if the security is exempt from SEC registration.

By standard, the SEC states and implore investors to purchase only securities that are registered with the securities and exchange commission (SEC) or only when an exemption is made available. If securities have been trading for about a year or is being traded by a minimum of two companies, no exemption would be given by the SEC.  

Also, there isn't any exemption for securities that is sold only to professional investors.

However, investors can purchase municipal and government securities even without it being registered with the securities and exchange commission.

<em>In a nutshell, the customer can only purchase a security that has not been registered only if it is exempted from SEC registration. </em>

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Oriole Company bought equipment for $290000 on January 1, 2021. Oriole estimated the useful life to be 5 years with no salvage v
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Answer:

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