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The following data are available from the accounting records of Jones Co for the month ending May 31, 2014. 17,000 units were manufactured and sold during the accounting period at a prince of $60 per unit. There was no beginning inventories and all units were completed (no work in process).
CostTotal CostNumber of UnitsUnit CostManufacturing CostVariableFixedTotal$442,000170,000612,0001700017000261036Selling and Administrative ExpensesVariable ($2 per unit sold)FixedTotal34,00032,00066,000Prepare a variable costing income statementPrepare an absorption costing income statementIncome Statement Absorption CostingSales$1,020,000Less COGS$612,000Gross Profit$408,000less Operating Expense$66,000Operating Income$342,000Income Statement Variable CostingSales…
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