Under absorption costing, the carrying value on the balance sheet of the ending inventory for the year would be

Under absorption costing, the carrying value on the balance sheet of the ending inventory for the year would be

Harris Company produces a single
product. Last year, Harris manufactured 17,000 units and sold 13,000 units.
Production costs for the year were as follows:

Production Cost Data

Direct materials

$153,000

Direct labor

$110,500

Variable manufacturing overhead

$204,000

Fixed manufacturing overhead

$255,000

Sales were $780,000 for the year,
variable selling and administrative expenses were $88,400, and fixed selling
and administrative expenses were $170,000. There was no beginning inventory.
Assume that direct labor is a variable cost.

Under absorption costing, the
carrying value on the balance sheet of the ending inventory for the year would
be


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