Monster manufacturing company, which has only one product had provided the following data concerning its most recent month of operations
- Selling price $190
- Units in begining inventory 0
- Units produced 9500
Units sold 8000
- units in ending inventory 1500
Variable cost per unit:
- Direct materials $65
- Direct labor $39
- Variable manufacturing overhead $2.5
- Variable selling and admind $11
Fixed costs:
- Fixed manufacturing overhead $320,000
- Fixed selling and admin $ 123,000
Required
A. Prepare an income statment for the month using variable costing method
B. Prepare an income statment for the month using absorption costing method