Praeger Company began operations on January 1 and produces a single product



that sells for $10.00 per unit. Standard capacity is 100,000 units per year. During



the year, 100,000 units were produced and 80,000 units were sold. There was no



inventory at the beginning of the year. Manufacturing costs and selling and administrative



expenses follow:















Fixed Costs
Variable Costs


Raw materials
--
$2.50 per unit produced


Direct labor
--
1.50 per unit produced


Factory overhead
$250,000
.50 per unit produced


Selling and administrative
100,000
.50 per unit sold







There were no variances from the standard variable costs. Any under- or



overapplied overhead is written off directly at year end as an adjustment to cost of goods sold.


















In presenting inventory on the balance sheet at December 31, what is the unit cost under absorption costing?




In presenting inventory on the balance sheet at December 31, what is the unit cost under variable costing?




What is the net income for the year under absorption costing?




What is the net income for the year under direct costing?




What is the cost of the ending inventory under absorption costing?




What is the cost of the ending inventory under variable costing?

LOL! Nobody here is going to sit and figure all this out for you. It is your class, you need to do the work. If you have trouble with it, you post what you're having a problem with and someone may come along and help you but...we don't sit around waiting for someone to post a homework question so we can do all their learning for them.