Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Below find production and sales information for Herrestad Company. We will use this same company for all the SLPs in this course.
Product information
Beginning inventory
0
Units produced
10,000
Units sold
8,000
Selling price per unit
$300
Variable costs per unit
Direct material
120
Direct labor
60
Variable overhead
40
Variable selling and administrative
10
Fixed costs
Fixed manufacturing overhead
250,000
Fixed selling and administrative
100,000
Herrestad Company
Absorption Income Statement
For the period ending Dec. 31, 2011
Sales
$2,400,000
Cost of goods sold
1,960,000
Gross profit (margin)
$440,000
Selling and administrative expenses
180,000
Net income
$260,000
Required:
Prepare a contribution margin (behavioral, variable) income statement for Herrestad Company. Prepare a second version assuming the selling price per unit increases to $320 per unit.
Use the original information to:
The submission should be 2 to 4 pages and need to include answers to all the questions listed above. Show computations, discuss the results and include references in APA format.
Two classes of stock authorized: $100 par preferred and $2 par common how do you record this transaction? May 18 Issues 30,000 additional shares of $2 common stock for $75 p
Dixon Corporation was established on January 1, Year 1. The firm has 2 divisions, Division A and Division B. Division A manufactures standard carpets, and Division B manufactures
Accrued income is an amount earned although not in reality received during the accounting period or till the date of preparation of last accounts for the period concerned. The firs
1. Single product or single mix of products 2. Variable cost, fixed cost and selling price are constant 3. The level of production will equal the level of sales Example:
Generally Accepted Accounting Principles (GAAP) are guidelines for companies to follow as they prepare and issue financial statemnents. Let's start by getting an understanding of
What is bad debt expense, using the aging method (also called the "percentage of receivables" method), given the following set of facts? A firm has $80 of gross accounts recei
Marginal Cost (MC): The marginal cost of an additional unit of output is the cost of the additional inputs required to make that output. More formally, the marginal cost is the
What are 'potential' ordinary shares? In your answer provide three examples to support your explanation. Briefly outline the process (steps) to determine whether 'potential' ordi
Mr. Homer Simpson, President and Chief Executive Officer of Duff's Beer Making Supplies Inc. recently hired you as the new budget analyst for his company. As your first duty, he h
Cost Benefit Approach - Terms Used in Cost Accounting Is the primary criterion for selecting with alternative accounting approaches? There is a direct relationship in a co
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd