Qiu Company, which has only one product, has provided the following data concerning its most recent month of operations:
Required:
a. What is the unit product cost for the month under variable costing?
b. Prepare a contribution format income statement for the month using variable costing.
c. Without preparing an income statement, determine the absorption costing net operating income for the month. (Hint: Use the reconciliation method.)

Question

Qiu Company, which has only one product, has provided the following data concerning its most recent month of operations:  
Required:
a. What is the unit product cost for the month under variable costing?
b. Prepare a contribution format income statement for the month using variable costing.
c. Without preparing an income statement, determine the absorption costing net operating income for the month. (Hint: Use the reconciliation method.)

Quizplus · Accepted Answer

The Answer of Qiu Company, which has only one product, has provided the following data concerning its most recent month of operations:  
Required:
a. What is the unit product cost for the month under variable costing?
b. Prepare a contribution format income statement for the month using variable costing.
c. Without preparing an income statement, determine the absorption costing net operating income for the month. (Hint: Use the reconciliation method.)

Qiu Company, Which Has Only One Product, Has Provided the Following