assembles and sells MP3 players.

 485,900 

If required, round interim per-unit calculations to the nearest cent.

a. income statement according to the absorption costing concept.

Shawnee Motors Inc.Absorption Costing Income Statement For the Month Ended August 31

Sales ?

Cost of goods sold ?

Gross profit ?

Selling and administrative expenses ?

Income from operations ?

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a. Under absorption costing, the cost of goods manufactured includes direct materials, direct labor, and factory overhead costs. Both fixed and variable factory costs are included as part of factory overhead.

Learning Objective 1.

b. income statement according to the variable costing concept.

Shawnee Motors Inc.Variable Costing Income Statement For the Month Ended August 31

Sales ?

Variable cost of goods sold ?

Manufacturing margin ?

Variable selling and administrative expenses ?

Contribution margin ?

Fixed costs:

Fixed factory overhead ?

Fixed selling and administrative expenses ?

Total fixed costs ?

Income from operations ?