Exam 4: Variable Costing and Segment Reporting: Tools for Management

Sechrest Corporation manufactures a single product.Last year, the company's variable costing net operating income was $80, 500.Fixed manufacturing overhead costs released from inventory under absorption costing amounted to $18, 400.What was the absorption costing net operating income last year?

Delvin Corporation, which has only one product, has provided the following data concerning its most recent month of operations: What is the total period cost for the month under the absorption costing?

Jarvix Corporation, which has only one product, has provided the following data concerning its most recent month of operations: The company produces the same number of units every month, although the sales in units vary from month to month.The company's variable costs per unit and total fixed costs have been constant from month to month. What is the unit product cost for the month under variable costing?

Last year, Rochester Corporation's variable costing net operating income was $78, 000.The fixed manufacturing overhead costs released from inventory under absorption costing amounted to $39, 000. Required: Determine the absorption costing net operating income last year.Show your work!

Warburton Corporation has two divisions: Alpha and Beta.Data from the most recent month appear below: The company's common fixed expenses total $85, 690.The break-even in sales dollars for Alpha Division is closest to:

Under variable costing, product costs consist of direct materials, direct labor, and variable manufacturing overhead.

Aaker Corporation, which has only one product, has provided the following data concerning its most recent month of operations: The total contribution margin for the month under variable costing is:

A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: What is the net operating income for the month under variable costing?

Hardee Inc. , which produces a single product, has provided the following data for its most recent month of operations: There were no beginning or ending inventories. The unit product cost under variable costing was:

Brummitt Corporation has two divisions: the BAJ Division and the CBB Division.The corporation's net operating income is $10, 700.The BAJ Division's divisional segment margin is $76, 100 and the CBB Division's divisional segment margin is $42, 300.What is the amount of the common fixed expense not traceable to the individual divisions?

Sosinski Corporation has two divisions: Domestic Division and Foreign Division.The following data are for the most recent operating period: The common fixed expenses have been allocated to the divisions on the basis of sales. The Foreign Division's break-even sales is closest to:

Zimmerli Corporation manufactures a single product.The following data pertain to the company's operations over the last two years: Required: a.Determine the absorption costing net operating income last year.Show your work! b.Determine the absorption costing net operating income this year.Show your work!

Roskos Corporation has two divisions: Town Division and Country Division.The following report is for the most recent operating period: The company's common fixed expenses total $52, 900. Required: a.What is the Town Division's break-even in sales dollars? b.What is the Country Division's break-even in sales dollars? c.What is the company's overall break-even in sales dollars?

Bateman Corporation, which has only one product, has provided the following data concerning its most recent month of operations: What is the unit product cost for the month under absorption costing?

Mitchel Corporation manufactures a single product.Last year, variable costing net operating income was $55, 000.The fixed manufacturing overhead costs released from inventory under absorption costing amounted to $24, 000. Required: Determine the absorption costing net operating income last year.Show your work!

Johnston Corporation manufactures a single product that it sells for $30 per unit.The company has the following cost structure: Last year there was no beginning inventory.During the year, 20, 000 units were produced and 17, 000 units were sold. Under absorption costing, the unit product cost would be:

Assuming the LIFO inventory flow assumption, if production is less than sales for the period, absorption costing net operating income will generally be greater than variable costing net operating income.

Last year, Hruska Corporation's variable costing net operating income was $92, 200 and ending inventory decreased by 600 units.Fixed manufacturing overhead cost per unit was $3 in both beginning and ending inventory. Required: Determine the absorption costing net operating income for last year.Show your work!

Criblez Corporation has two divisions: Blue Division and Gold Division.The following report is for the most recent operating period: The company's overall break-even sales is closest to:

Schweinert Corporation manufactures a single product.The following data pertain to the company's operations over the last two years: What was the absorption costing net operating income this year?