The variable costing income statement for Kilem Company for this year is as follows: Selected data for this year concerning the operations of the company are as follows: $\begin{array}{lr}\text { Beginning inventory } & -0 \text { - units } \
\text { Units produced } & 8,000 \text { units }\
\text { Manufacturing costs: } & \
\text { Direct labour } & \$ 3.00 \text { per unit } \
\text { Direct materials } & 1.40 \text { per unit } \
\text { Variable overhead } & 1.60 \text { per unit }
\end{array}$ Required: Prepare an absorption costing income statement for this year.

Question

The variable costing income statement for Kilem Company for this year is as follows:  Selected data for this year concerning the operations of the company are as follows: $\begin{array}{lr}\text { Beginning inventory } & -0 \text { - units } \
\text { Units produced } & 8,000 \text { units }\
\text { Manufacturing costs: } & \
\text { Direct labour } & \$ 3.00 \text { per unit } \
\text { Direct materials } & 1.40 \text { per unit } \
\text { Variable overhead } & 1.60 \text { per unit }
\end{array}$ Required: Prepare an absorption costing income statement for this year.

Quizplus · Accepted Answer

The Answer of The variable costing income statement for Kilem Company for this year is as follows:  Selected data for this year concerning the operations of the company are as follows: $\begin{array}{lr}\text { Beginning inventory } & -0 \text { - units } \
\text { Units produced } & 8,000 \text { units }\
\text { Manufacturing costs: } & \
\text { Direct labour } & \$ 3.00 \text { per unit } \
\text { Direct materials } & 1.40 \text { per unit } \
\text { Variable overhead } & 1.60 \text { per unit }
\end{array}$ Required: Prepare an absorption costing income statement for this year.

The Variable Costing Income Statement for Kilem Company for This