Highway Company reported the following costs for the year just ended: $236,000 T

Question

Highway Company reported the following costs for the year just ended: $236,000 Throughput manufacturing costs Non-throughput manufacturing costs Selling and administrative costs If Highway uses throughput costing and had sales revenues for the period of $1.027,000, which of the following choices correctly depicts the 560,000 159,000 company's cost of goods sold and income? A. B. C. D. E. nofie Cost of Goods Soid $236,000 $236,000 $395,000 $395,000 Income $72,000 $632.000 $72,000 $632,000 one of the above. Multiple Choice Choice A

Explanation / Answer

Choice A    

                               Highway Company

Choice A    

                               Highway Company

                       Income Statement for the year ended Particulars Amount (in $) Sales Revenue $        1,027,000 Less: Cost of Goods solds $          (236,000) Throghput Contribution $           791,000 Less: Product Conversion costs $          (560,000)           (i.e.. Non-Throughput costs)           Selling & Administrative Costs $          (159,000) Income $             72,000

Related Questions

Navigate

• Browse (All)
• Browse H
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.