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ashly138 ashly138
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6 years ago
Bruster Company sells its products for $66 each. The current production level is 25,000 units, although
only 20,000 units are anticipated to be sold.

Unit manufacturing costs are:
   Direct materials      $12.00
   Direct manufacturing labour   $18.00
   Variable manufacturing costs   $9.00
   Total fixed manufacturing costs   $180,000
   Marketing expenses $6.00 per unit, plus    $60,000 per year

Required:
a.   Prepare an income statement using absorption costing in the gross margin format.
b.   Prepare an income statement using variable costing in the contribution margin format.
Textbook 
Cost Accounting: A Managerial Emphasis, Canadian Edition

Cost Accounting: A Managerial Emphasis, Canadian Edition


Edition: 7th
Authors:
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MunihasenMunihasen
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6 years ago
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ashly138 Author
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6 years ago
Correct Slight Smile TY
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Smart ... Thanks!
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2 hours ago
I appreciate what you did here, answered it right Smiling Face with Open Mouth
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