1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Oduvanchick [21]
3 years ago
8

Advanced Company reports the following information for the current year. All beginning inventory amounts equaled $0 this year. U

nits produced this year 28,000​ units Units sold this year 16,800​ units Direct materials $ 12​ per unit Direct labor $ 14​ per unit Variable overhead $ 3​ per unit Fixed overhead $ 140,000​ in total Given Advanced Company's data, and the knowledge that the product is sold for $59 per unit and operating expenses are $230,000, compute the net income under variable costing.
Business
1 answer:
kvv77 [185]3 years ago
7 0

Answer:

Net Income   =  $134,000

Explanation:

<em>Under the variable costing method, cost are classified by their behaviour in fixed cost and variable cost.</em>

The operating income of Advanced Company would be computed as follows:

                                                            $

Sales revenue   - (16,800 ×59)=      991,200

Variable costs :

(12 +14+3) × 16,800                 =      <u> (487,200)</u>

<em>Contribution                                      504,000</em>

Fixed overhead                                 (140,000)

Operating expense                          (<u>230,000)</u>

Net Income                                        <u> 134,000</u>

You might be interested in
ctivity-Based Costing Casual Cuts Inc. has total estimated factory overhead for the year of $225,000, divided into four activiti
VMariaS [17]

Answer:The activity rate for each activity of Company CC is:

Activity rate for cutting is $60 per dlh.

Activity rate for sewing is $15 per dlh.

Activity rate setup is $80 per setup.

Activity rate for inspection is $65 per inspection.

Explanation: Activity based costing trace overhead cost to each activity and absorbed at a rate for each activity rather than a rate per direct labour hour

Calculate activity rate for cutting

Cutting = cost of cutting/ Number of labour hours

$90,000/1500 = $60 per direct labour hour

Calculate the cost of sewing

Sewing= cost of sewing/ Number of labour hours

$22,500/1500 = $15 per direct labour hour

Calculate the cost of set up

Setup = cost of set up/ number of set ups

$80,000/ 1000 = $80 per set up

Calculate the cost of inspection

Inspection = cost of inspection/ number of inspection

$32,500/ 500 = $65 per inspection

5 0
3 years ago
Is there anyone who's good in economics that can help me with my questions and can provide me the CORRECT answers, please?
Alex777 [14]
I am willing to assist you in economics I passed with an A !
6 0
3 years ago
Read 2 more answers
You have your choice of two investment accounts. Investment A is a 12-year annuity that features end-of-month $1,900 payments an
Nataly [62]

Answer:

hey wasup how you doing no ok

Explanation:

6 0
3 years ago
Is a treehouse considered "a house" if i was like 30-40 and wanted to buy a house and settle down do you think i could like stil
antiseptic1488 [7]
Technically you could live in a tree house if you wanted to. 
5 0
3 years ago
Select the correct answer. Which statement describes points of difference? A. essential elements of a brand that help it justify
V125BC [204]

Answer:

I believe it is B but I'm not sure

8 0
3 years ago
Read 2 more answers
Other questions:
  • Which one of the following statements is correct? Question 19 options: A longer payback period is preferred over a shorter payba
    13·1 answer
  • Sea Side Enterprises is trying to predict the cost associated with producing its anchors. At a production level of 5100 anchors,
    12·1 answer
  • The process of developing and executing strategies and tactics to market and sell a product or service to a very specific target
    14·1 answer
  • In Illinois Mobile homes are generally considered?
    15·1 answer
  • Jessica has been very reliable making payments on reasonable loans over the past decade. She has never been late on a payment an
    13·2 answers
  • Which of the following statements is correct about the relationship between the nominal interest rate and the real interest rate
    13·2 answers
  • Kari has been saving money for college for the past four years; she thinks that she is close to her goal amount of $30,000 which
    12·1 answer
  • The Nicor family is planning to purchase a new home 7 years from now. If they have $240,000 now, how much will be available at t
    15·1 answer
  • On January 1, 2021, Pine Corporation signed a five-year noncancelable lease for equipment. The terms of the lease called for Pin
    15·1 answer
  • Holding the price level constant, a(n)______ in net exports increases the aggregate and thereby increases real gdp.
    5·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!