Question list
Question 1
Question 2
Champion Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to April and May 2020 are as follows:
(Click the icon to view the data.)
The selling price per vehicle is $27,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 400 units. There are no price, efficiency, or spending variances. Any production-volume variance is written off to cost of goods sold in the month in which it occurs.
Read the requirements.
Requirement 1. Prepare April and May 2020 income statements for Champion Motors under (a) variable costing and (b) absorption costing.
(a) Prepare April and May 2020 income statements for Champion Motors under variable costing. Complete the top half of the income statement for each month first, then complete the bottom portion. (Complete all input fields. Enter a "0" for any zero balance accounts.)
April 2020
May 2020
Data table
able[[,A,,B,,C],[1,(t), heta ,April,,May],[2,Unit data:,,,,],[3,Beginning inventory,,0,,150],[4,Production,,400,,300],[5,Sales,6,250,,420],[6,Variable costs,,,,],[7,Manufacturing cost per unit produced,$,8,500,$,8,500],[8,Operating (marketing) cost per unit sold,,4,000,,4,000],[9,Fixed costs:,,,,],[10,Manufacturing costs,$,2,400,000,$,2,400,000
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Read the requirements Click the icon to view the data April 2020 Requirement 1. Prepare April and May 2020 income statements for Champion Motors under a variable costing and b absorption costing. Champion Motors assembles and sells motor vehicles and uses standard costing. Actual data relating to April and May 2020 are as follows: May 2020 10 Manufacturing costs Fixed costs 6 Variable costs Sales Production Unit data Data table Operating (marketing costs Operating (marketing cost per unit sold Manufacturing cost per unit produced 500.000 IS $2,400,000 $2,400,000 4,000 8,500 250 April 500.00 4,000 8,50