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Goldey Beacom College Operations And Supply Chain Management Assignment Help -

Question - Soccer nets for use in professional games. They sell them for $200 each. Selected data for the company's operations last year follow: Units in beginning inventory 0 Units produced 500 Units sold 300 Units in ending inventory 200 Variable costs per unit: Direct materials $75 Direct labor 30 Variable manufacturing overhead 10 Variable selling and administrative 5 Fixed costs: Fixed manufacturing overhead $2,000 Fixed selling and administrative $1,000 a. Assume that the company uses variable costing, compute the net operating income. Show computations. b. Assuming that the company uses absorption costing, compute the net operating income. Show computations.

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