# ACC 206 Week 3 Chapter 5 Problem 6 Direct and absorption costing

Price:
\$6.00

Click the button below to add the ACC 206 Week 3 Chapter 5 Problem 6 Direct and absorption costing to your wish list.

SHARE

## Product Description

Chapter 5 Problem 6: Direct and absorption costing
The information that follows pertains to Consumer Products for the year ended December 31, 19X6.

 Inventory, 1/1/X6 24,000 units Units manufactured 80,000 Units sold 82,000 Inventory, 12/31/X6  Manufacturing costs: ? units Direct materials \$3 per unit Direct labor \$5 per unit Variable factory overhead \$9 per unit
Variable          \$2 per unit
Fixed  \$136,000

The unit selling price is \$26. Assume that costs have been stable in recent years.

Instructions:
1. a.       Compute the number of units in the ending inventory.
2. b.      Calculate the cost of a unit assuming use of:
1. 1.      Direct costing.
2. 2.      Absorption costing.
3. c.       Prepare an income statement for the year ended December 31, 20X6, by using direct costing.
4. d.      Prepare an income statement for the year ended December 31, 20X6, by using absorption costing.

## Product Reviews

This product hasn't received any reviews yet. Be the first to review this product!

• \$20.00
• \$20.00
• \$6.00
• \$5.00
• \$6.00

• \$20.00
• \$20.00
• \$6.00
• \$5.00
• \$6.00

• \$20.00
• \$6.00
• \$6.00
• \$6.00
• \$20.00