Reference no: EM132795370

STANDARD COSTING PROBLEM - SINEBAK PHARMA CO. uses a standard cost accounting system. During March, 2020, the company reported the following manufacturing variances:

Materials price variance P1,600 F

Materials quantity variance 2,400 U

Labor price variance 600 U

Labor quantity variance 2,200 U

Overhead controllable 500 F

Overhead volume 3,000 U

In addition, 15,000 units of product were sold at P18 per unit. Selling expenses P5,000 and Administrative expenses for the month were 2/3 of the operating expenses.

The standard cost per unit produced were:

Direct materials P8

Direct labor 4

Factory overhead 2

Corporate Income Tax Rate = 30%

Required - Make an income statement for management for the month ending March 31, 2020.