Freedom Town: Aesthetic and Recreational Lawn Alternative
- Thread starter BASEDVATO
- Start date
Quizzes/Exercise
The following data are available for Ruggles Company for the year ended September 30, 20X5.
Sales: 24,000 units at $50 each
Expected and actual production: 30,000 units
Manufacturing costs incurred:
Variable: $525,000
Fixed: $372,000
Nonmanufacturing costs incurred:
Variable: $144,800
Fixed: $77,400
Beginning inventories: none
Required:
a. Determine operating income using the variable-costing approach.
b. Determine operating income using the absorption-costing approach.
c. Explain why operating income is not the same under the two approaches.
The following data are available for Ruggles Company for the year ended September 30, 20X5.
Sales: 24,000 units at $50 each
Expected and actual production: 30,000 units
Manufacturing costs incurred:
Variable: $525,000
Fixed: $372,000
Nonmanufacturing costs incurred:
Variable: $144,800
Fixed: $77,400
Beginning inventories: none
Required:
a. Determine operating income using the variable-costing approach.
b. Determine operating income using the absorption-costing approach.
c. Explain why operating income is not the same under the two approaches.
Props:
BUTCHER 206
management accounting. pretty much a whole class based on how to manipulate the books to make a company more or less profitable depending on how you want it
Props:
BUTCHER 206
for me logarithms are easier than this. at least with that it is just a single right or wrong answer. but for this theres all different theories and shit you have to apply to get the "correct" answer if that makes sense
Props:
BUTCHER 206