Accounting Homework

Fletcher Company manufactures and sells one product. The following information pertains to each of the political partys first two years of operations Variable constitute per social unit Manufacturing Direct materials $ 20 Direct labor $ 12 Variable manufacturing overhead $ 4 Variable selling and administrative $ 3 Fixed cost per year Fixed manufacturing overhead $ 200,000 Fixed selling and administrative expenses $ 80,000 During its first year of operations, Fletcher produced 50,000 units and change 40,000 units.During its second year of operations, it produced 40,000 units and sold 50,000 units. The selling price of the companys product is $50 per unit. 1. Assume the company uses variable be a. Compute the unit product cost for year 1 and year 2. ( chuck out the $ press in your response. ) social class 1 Year 2 unit of measurement product cost $ $ b. desexualize an income program line for year 1 and year 2. (Input each(prenominal) amounts as po sitive values except losses which should be indicated by a minus score. pull up the $ sign in your response. ) Year 1 Year 2 $ $ Variable expenses Total variable expenses Fixed expenses Total fixed expenses $ $ 2. Assume the company uses assiduousness costing a. Compute the unit product cost for year 1 and year 2. (Omit the $ sign in your response. ) Year 1 Year 2 Unit product cost $ $ b. Prepare an income statement for year 1 and year 2. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the $ sign in your response. ) Year 1 Year 2 $ $ $ $ 3. Reconcile the difference between variable costing and assimilation costing net operate income in year 1 and year 2. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the $ sign in your response. ) Year 1 Year 2 Variable costing net operating income (loss) $ $ Absorption costing net operating income $ $ Fletcher Company manufactures and sells one product. The following information pertains to each of the companys first two years of operations Variable costs per unit Manufacturing Direct materials $ 20 Direct labor $ 12 Variable manufacturing overhead $ 4 Variable selling and administrative $ 3 Fixed costs per year Fixed manufacturing overhead $ 200,000 Fixed selling and administrative expenses $ 80,000 During its first year of operations, Fletcher produced 50,000 units and sold 40,000 units. During its second year of operations, it produced 40,000 units and sold 50,000 units. The selling price of the companys product is $50 per unit. 1. Assume the company uses variable costing a. Compute the unit product cost for year 1 and year 2. Omit the $ sign in your response. ) Year 1 Year 2 Unit product cost $ $ b. Prepare an income statement for year 1 and year 2. (Input all amounts as positive values ex cept losses which should be indicated by a minus sign. Omit the $ sign in your response. ) Year 1 Year 2 $ $ Variable expenses Total variable expenses Fixed expenses Total fixed expenses $ $ 2. Assume the company uses absorption costing a. Compute the unit product cost for year 1 and year 2. Omit the $ sign in your response. ) Year 1 Year 2 Unit product cost $ $ b. Prepare an income statement for year 1 and year 2. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the $ sign in your response. ) Year 1 Year 2 $ $ $ $ 3. Reconcile the difference between variable costing and absorption costing net operating income in year 1 and year 2. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the $ sign in your response. Year 1 Year 2 Variable costing net operating income (loss) 160,000 270,000 Add Fixed m anufacturing overhead cost deferred in archive under absorption costing 40000 Deduct fixed manufacturing overhead cost released inventory under absorption costing ______ Absorption costing net operating income 20000