BMBA 640 Quiz 4 CT17-2 Chapters 17 – 20

| September 29, 2018

BMBA 640
Quiz 4
CT17-2
Chapters 17 – 20

Hasselback, Inc.,
produced 175,000 units and prepared the following income report using
absorption costing (numbers in $1,000s):

Sales (100,000 Units)

$15,000

Less Cost of Goods Sold

Direct
Materials

$1,200

Direct Labor

300

Unit-related
overhead

900

Other
overhead

4,000

6,400

Gross Margin

8,600

Less other operating costs

Variable
Selling & Administrative

600

Fixed
Selling & Administrative

2,000

Profit

$6,000

Required:

1.
Determine Hasselback’s profit using
unit-variable costing.
2.
Determine Hasselback’s profit using
throughput costing.
3.
Which method do you think presents the most
reliable picture of current earnings?
Why?

Get a 30 % discount on an order above $ 100
Use the following coupon code:
RESEARCH
Order your essay today and save 30% with the discount code: RESEARCHOrder Now
Positive SSL