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natita [175]
2 years ago
11

Fixed manufacturing overhead costs are included as part of Work in Process inventory under ______. Multiple choice question. var

iable costing only neither variable and absorption costing both variable and absorption costing absorption costing only
Business
1 answer:
Leona [35]2 years ago
6 0

In accounting, the fixed manufacturing overhead costs are included as part of Work in Process inventory under the absorption costing only

.

<h3>What is an absorption costing?</h3>

An absorption costing is an accounting method that captures all costs associated with the manufacturing of a product.

Hence, the practice is that the fixed manufacturing overhead costs are included as part of Work in Process inventory under the absorption costing only.

Therefore, the Option D is correct.

Read more about absorption costing

<em>brainly.com/question/26276034</em>

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On July 8, a fire destroyed the entire merchandise inventory on hand of Larrenaga Wholesale Corporation. The following informati
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Answer:

The answer is $243,000

Explanation:

The inventory on July 8 immediately prior to the fire is the CLOSING INVENTORY.

To find this closing inventory, we need to find the gross profit first and then cost of sales.

To find gross profit:

Gross profit margin=gross profit ÷sales.

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Sales is $690,000

Therefore, gross profit is:

0.2 x $690,000

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To find cost of sales:

Gross profit = sales - cost of sales.

Gross profit is $138,000

Sales is $690,000

Therefore, cost of sales is

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=$552,000.

And finally to get closing inventory:

Cost of sales = opening inventory + purchases - closing inventory.

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6 0
4 years ago
The following credit sales are budgeted by Garcia Company:January $255,000February $375,000March $525,000April $450,000The compa
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Answer:

Total cash to be realized in March = $468,000

Explanation:

As for the provided information, the details are:

Realization of sales:

In the month of Sale = 70%

In the month following sale = 20%

In the next to month following sale = 10%

Thus, for the month of March: Realization shall be:

Sales of March = 70% = $525,000 \times70% = $367,500

Sales of February = 20% = $375,000 \times 20% = $75,000

Sales of January = 10% = $255,000 \times 10% = $25,500

Total cash to be realized in March = $468,000

7 0
3 years ago
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