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Comportamiento de costos PE S-1A Varlable costing Light Company has the followin

ID: 2820944 • Letter: C

Question

Comportamiento de costos PE S-1A Varlable costing Light Company has the following information for January OBJ. Sales Variable cost of goods sold Fixed manufacturing costs Variable selling and administrative expenses Fixed selling and administrative expenses $648,000 233200 155,500 51,800 36,800 Determine (a) the manufacturing margin, (b) the contribution margin, and (c) income from operations for Light Company for the month of January PE 5-4A Analyzing Income under absorptlon and varlable costing Variable manufacturing costs are $13 per unit and fixed manufacturing costs are $75 . Sales are estimated to be 12,000 units. a. low much would absorption costing income from operations differ between a plan to produce 12,000 units and a plan to produce 15,000 units? b. How much would variable costing income from operations differ between the tw production plns? OBJ.2

Explanation / Answer

Answer of PE 5-1A:

Income from Operation = Contribution Margin – Fixed Costs
Income from Operation = $363,000 - $192,300
Income from Operation = $170,700

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