Answer questions on Comparison of Variable Costing and Absorption Costing attached. Please show work.
Youngstown Manufacturing and Chan Manufacturing Company.© BrainMass Inc. brainmass.com October 9, 2019, 10:39 pm ad1c9bdddf
Calculation of Ending finished goods inventory under Absorption costing
1) Step 1 : We will calculate the Manufacturing costs for the total unit production of 1600 units
Cost of Goods Sold= Direct Labor + Direct Materials used + Variable manufacturing overhead+Fixed Manufacturing Overhead
2) Step 2 : Calculate the Ending finished goods inventory
Cost of 1600 units =$8000 (As calculated in Step 1)
Cost per unit= 10200/1600=$6.38 per unit
Cost of ending inventory of 200 ...
Response provides the steps of calculation of ending finished goods inventory under absorption costing.