Snowy Mountain Company has the following selected data for the past year:
Units sold du...
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Business, 09.04.2020 18:43 hella33revj
Snowy Mountain Company has the following selected data for the past year:
Units sold during year 30,000
Units produced during year 45,000
Units in ending inventory 15,000
Variable manufacturing cost per unit $4.50
Fixed manufacturing overhead (in total) $20,250
Selling price per unit $12.00
Variable selling and administrative expense per unit $1.00
Fixed selling and administrative expenses (in total) $4,000
There were no units in beginning inventory.
a. Prepare an income statement for last year using absorption costing. b. Calculate the value of the ending inventory using absorption costing.
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