Bob’s Bistro produces party-sized hoagie sandwiches. For next year, Bob’s Bistro predicts that 52,300 units will be produced with the following total costs: Direct materials ? Direct labor $52,000 Variable overhead 19,000 Fixed overhead 235,000 Next year, Bob’s Bistro expects to purchase $122,000 of direct materials. Projected beginning and ending inventories for direct materials and work in process are as follows: Direct materials Inventory Work-in-Process Inventory Beginning $5,000 $10,100 Ending $4,900 $12,100 Next year, Bob’s Bistro expects to produce 52,300 units and sell 51,600 units at a price of $17.00 each. Beginning inventory of finished goods is $41,500, and ending inventory of finished goods is expected to be $33,000. Total selling expense is projected at $28,500, and total administrative expense is projected at $116,500. Required: Question Content Area 1. Prepare an income statement in good form. Round the percent to four decimal places before converting to a percentage. For example, .88349 would be rounded to .8835 and entered as 88.35. Bob's BistroIncome StatementFor the Coming Year
Bob’s Bistro produces party-sized hoagie sandwiches. For next year, Bob’s Bistro predicts that 52,300 units will be produced with the following total costs: Direct materials ? Direct labor $52,000 Variable overhead 19,000 Fixed overhead 235,000 Next year, Bob’s Bistro expects to purchase $122,000 of direct materials. Projected beginning and ending inventories for direct materials and work in process are as follows: Direct materials Inventory Work-in-Process Inventory Beginning $5,000 $10,100 Ending $4,900 $12,100 Next year, Bob’s Bistro expects to produce 52,300 units and sell 51,600 units at a price of $17.00 each. Beginning inventory of finished goods is $41,500, and ending inventory of finished goods is expected to be $33,000. Total selling expense is projected at $28,500, and total administrative expense is projected at $116,500. Required: Question Content Area 1. Prepare an income statement in good form. Round the percent to four decimal places before converting to a percentage. For example, .88349 would be rounded to .8835 and entered as 88.35. Bob's BistroIncome StatementFor the Coming Year
Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 6PB: Box Springs. Inc., makes two sizes of box springs: queen and king. The direct material for the queen...
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Bob’s Bistro produces party-sized hoagie sandwiches. For next year, Bob’s Bistro predicts that 52,300 units will be produced with the following total costs:
Direct materials | ? |
Direct labor | $52,000 |
Variable |
19,000 |
Fixed overhead | 235,000 |
Next year, Bob’s Bistro expects to purchase $122,000 of direct materials. Projected beginning and ending inventories for direct materials and work in process are as follows:
Direct materials Inventory |
Work-in-Process Inventory |
|
Beginning | $5,000 | $10,100 |
Ending | $4,900 | $12,100 |
Next year, Bob’s Bistro expects to produce 52,300 units and sell 51,600 units at a price of $17.00 each. Beginning inventory of finished goods is $41,500, and ending inventory of finished goods is expected to be $33,000. Total selling expense is projected at $28,500, and total administrative expense is projected at $116,500.
Required:
Question Content Area
1. Prepare an income statement in good form. Round the percent to four decimal places before converting to a percentage. For example, .88349 would be rounded to .8835 and entered as 88.35.
Bob's BistroIncome StatementFor the Coming Year
Percent | |||
Sales
|
$_____ | _____% | |
Cost of goods sold
|
____ | _____% | |
Gross margin
|
$____ | _____% | |
Less: Operating expenses | |||
Selling expenses
|
$_____ | ||
Adminstrative expenses
|
____ | _____ | _____% |
Operating income
|
$____ | ____% |
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