Homework Help is Here – Start Your Trial Now!
Business
Accounting
Race Track 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 $28,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 500 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 Race Track Motors under (a) variable costing and (b) absorption costing. (a) Prepare April and May 2020 income statements for Race Track 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 $ 11,200,000 $ 15,400,000 Revenues Variable cost of goods sold: Beginning inventory Variable manufacturing costs Cost of goods available for sale Deduct ending inventory Variable cost of goods sold Variable operating costs Contribution margin $ 0 880,000 1,210,000 Data table A 1 2 3 4 5 Sales 6 Variable costs: 7 8 9 Fixed costs: 10 Manufacturing costs 11 Operating (marketing) costs Unit data: Beginning inventory Production Manufacturing cost per unit produced $ Operating (marketing) cost per unit sold Print B April Done 0 500 400 8,500 $ 2,200 C May 100 475 550 8,500 2,200 $ 2,400,000 $2,400,000 700,000 700,000 X

Race Track 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 $28,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 500 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 Race Track Motors under (a) variable costing and (b) absorption costing. (a) Prepare April and May 2020 income statements for Race Track 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 $ 11,200,000 $ 15,400,000 Revenues Variable cost of goods sold: Beginning inventory Variable manufacturing costs Cost of goods available for sale Deduct ending inventory Variable cost of goods sold Variable operating costs Contribution margin $ 0 880,000 1,210,000 Data table A 1 2 3 4 5 Sales 6 Variable costs: 7 8 9 Fixed costs: 10 Manufacturing costs 11 Operating (marketing) costs Unit data: Beginning inventory Production Manufacturing cost per unit produced $ Operating (marketing) cost per unit sold Print B April Done 0 500 400 8,500 $ 2,200 C May 100 475 550 8,500 2,200 $ 2,400,000 $2,400,000 700,000 700,000 X

Cornerstones of Cost Management (Cornerstones Series)
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter18: Pricing And Profitability Analysis
Section: Chapter Questions
Problem 15E: Flaherty, Inc., has just completed its first year of operations. The unit costs on a normal costing...
See similar textbooks
icon
Related questions
Question

I will dislike if u solve in descriptive format ..

 

If u don't know the answer don't touch it .

Race Track 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 $28,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 500 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 Race Track Motors under (a) variable costing and (b) absorption costing. (a) Prepare April and May 2020 income statements for Race Track 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 $ 11,200,000 $ 15,400,000 Revenues Variable cost of goods sold: Beginning inventory Variable manufacturing costs Cost of goods available for sale Deduct ending inventory Variable cost of goods sold Variable operating costs Contribution margin $ 0 880,000 1,210,000 Data table A 1 2 3 4 5 Sales 6 Variable costs: 7 8 9 Fixed costs: 10 Manufacturing costs 11 Operating (marketing) costs Unit data: Beginning inventory Production Manufacturing cost per unit produced $ Operating (marketing) cost per unit sold Print B April Done 0 500 400 8,500 $ 2,200 C May 100 475 550 8,500 2,200 $ 2,400,000 $2,400,000 700,000 700,000 X
Transcribed Image Text:Race Track 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 $28,000. The budgeted level of production used to calculate the budgeted fixed manufacturing cost per unit is 500 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 Race Track Motors under (a) variable costing and (b) absorption costing. (a) Prepare April and May 2020 income statements for Race Track 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 $ 11,200,000 $ 15,400,000 Revenues Variable cost of goods sold: Beginning inventory Variable manufacturing costs Cost of goods available for sale Deduct ending inventory Variable cost of goods sold Variable operating costs Contribution margin $ 0 880,000 1,210,000 Data table A 1 2 3 4 5 Sales 6 Variable costs: 7 8 9 Fixed costs: 10 Manufacturing costs 11 Operating (marketing) costs Unit data: Beginning inventory Production Manufacturing cost per unit produced $ Operating (marketing) cost per unit sold Print B April Done 0 500 400 8,500 $ 2,200 C May 100 475 550 8,500 2,200 $ 2,400,000 $2,400,000 700,000 700,000 X
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 1 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS