How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Neo Your Own Question
Neo, Tutor
Category: Homework
Satisfied Customers: 12101
Experience:  BS Accounting
Type Your Homework Question Here...
Neo is online now
A new question is answered every 9 seconds

Bicycle of Bombay, India, produces an inexpensive, yet rugged,

Resolved Question:

Bicycle of Bombay, India, produces an inexpensive, yet rugged, bicycle for use on the city’s crowded streets that it sells for 930 rupees. data for the company’s operations last year follow:

Units in beginning inventory: 0
Units produced: 19,000
Units Sold: 7,000
Units in ending inventory: 12,000
Variable costs per unit:
Direct Materials: 87
Direct Labor: 317
Var. manuf. Overhead: 25
Var. selling/admin.: 20
Fixed Costs:
Fixed Manuf Overhead: 817,000
Fixed Selling/admin: 452,000

The absorption costing income statement prepared by the company’s accountant for last year appears below:
Sales: 6,510,000
Cost of Goods sold: 3,206,000
Gross Margin: 3,206,000
Sell/Admin Expense: 592,000
Net Operating Income: 2,614,000

1. Determine how much of the ending inventory consists of fixed manufacturing overhead cost deferred in inventory to the next period.
Total Fixed Manufacturing Overhead in ending inventory __?__
Submitted: 5 years ago.
Category: Homework
Expert:  Neo replied 5 years ago.

You need to spend $3 to view this post. Add Funds to your account and buy credits.
Neo and other Homework Specialists are ready to help you