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Question
Digby Company manufactured and sold 37,000 units of its product at a price of $93 per unit. Total variable cost per unit is $60, consisting of $58 in variable production cost and $2 in variable selling and administrative cost. Fixed costs of manufacturing are $350,000.a. Compute the manufacturing margin for the company under variable costing.
b. Compute the contribution margin based on this data.
c. Compute the gross margin under absorption costing.
Answer
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Direct labor X X
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Variable manufacturing overhead
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Direct materials
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Match the following
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Given the following data, calculate product cost per unit under variable costing.
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Q:
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Given the Cool Pools Company data, what is net income using absorption costing?
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