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1.	Prepare income statements for Chicago Screen in January, February, and March 2017 under throughput costing.
2.	Contrast the results in requirement 1 with the operating income results under variable costing and absorption costing.
3.	Give one motivation for Chicago Screen to adopt throughput costing.

			January		February		March
Unit data:
Beginning inventory			0		150		150
Production			1,500		1,450		1,540
Sales			1,350		1,450		1,575
Variable costs:
Manufacturing cost per unit produced			$850		$850		$850
Operating (marketing) cost per unit sold			$700		$700		$700
Fixed costs:
Manufacturing costs			$525,000		$525,000		$525,000
Operating (marketing) costs			$170,000		$170,000		$170,000
		January		February		March
	Direct material cost per unit	$450		$450		$450
	Direct manufacturing labor cost per unit	50		50		50
	Manufacturing overhead cost per unit	350		350		350
		$850		$850		$850

Data Table

Variable costing income statement

Homework: 5-1 MyAccountingLab Homework: Chapter 9 Score: 0 of 9 pts E9-24 (similar to) 4 of5 (1complete) HW Score Chicago Screen Corporation manufactures and sells 50-inch television sets and uses standard costing Actual data relating to January, February, and e variable manufacturing costs per unit of Chicago Screen Corporaton are as follows March 2017 are as follows (Click the icon to view the vaiable manufacturing cost data) Chicaga Screen prepared the folowing income statements under variable costing and absorption costing ll Cick the icon to view the actual data) e selling price per unit is $3500The budgeted level of production used to cakculate the budgeted fixed manufacturing cost per unit is 1,500 units.(Click the icon to view the variable costing statement.) There are na price, efficiencycr spending variances Ary production-volume variance is written aff to cost of goods said n the marthin which it accus (Click the icon to view the absorption costing statemenL) Read the requirements Requirement 1. Prepare income statements for Chicago Screen in January, February, and March 2017 under throughput cosing. Absorption costing income statement Begin by completing the tap partion of the statement then the bottom portion (Enter a "D' for any zero balance accounts January 2017 February 2017 March 2017 2017 February 2017 March 2017 Revenues 4,125,0OD 5,075,000 5 5,512,500 Cost of goods sold Baginning inventory Variable manufacturing costs Allocated fixed manufacturing costs Cosl of goods available for sale Less: Ending inventory Adj far production-volume variance Cost of goods sold Gross margin Operating costs Variable operating costs Fixed operating cost 5 180,000 1,232,500 507,500 ,920,000 (180,000) 17,500 $ 160,000 1309,000 539,000 2,028,000 (138,000) (14,000) 1275.000 525,000 1,800 000 (180.000) 162D,000 1,757,500 1,876,000 3,105,000 3,317,500 3,636,500 945,000 170,000 1015,000 170,000 1,102,500 170,000 Total operating costs 1,115,000 ,185,00D 1,272,500 S 1,990,000 S 2,132,500 S 2,364,000 Operating income Choose trom any list or enter any number in the input tields and then click Check Answer Print Done Homework: 5-1 MyAccountingLab Homework: Chapter 9 Score: 0 of 9 pts E9-24 (similar to) 4 of5 (1complete) HW Score Chicago Screen Corporation manufactures and sells 50-inch television sets and uses standard costing Actual data relating to January, February, and e variable manufacturing costs per unit of Chicago Screen Corporaton are as follows March 2017 are as follows (Click the icon to view the vaiable manufacturing cost data) Chicaga Screen prepared the folowing income statements under variable costing and absorption costing ll Cick the icon to view the actual data) e selling price per unit is $3500The budgeted level of production used to cakculate the budgeted fixed manufacturing cost per unit is 1,500 units.(Click the icon to view the variable costing statement.) There are na price, efficiencycr spending variances Ary production-volume variance is written aff to cost of goods said n the marthin which it accus (Click the icon to view the absorption costing statemenL) Read the requirements Requirement 1. Prepare income statements for Chicago Screen in January, February, and March 2017 under throughput cosing. Absorption costing income statement Begin by completing the tap partion of the statement then the bottom portion (Enter a "D' for any zero balance accounts January 2017 February 2017 March 2017 2017 February 2017 March 2017 Revenues 4,125,0OD 5,075,000 5 5,512,500 Cost of goods sold Baginning inventory Variable manufacturing costs Allocated fixed manufacturing costs Cosl of goods available for sale Less: Ending inventory Adj far production-volume variance Cost of goods sold Gross margin Operating costs Variable operating costs Fixed operating cost 5 180,000 1,232,500 507,500 ,920,000 (180,000) 17,500 $ 160,000 1309,000 539,000 2,028,000 (138,000) (14,000) 1275.000 525,000 1,800 000 (180.000) 162D,000 1,757,500 1,876,000 3,105,000 3,317,500 3,636,500 945,000 170,000 1015,000 170,000 1,102,500 170,000 Total operating costs 1,115,000 ,185,00D 1,272,500 S 1,990,000 S 2,132,500 S 2,364,000 Operating income Choose trom any list or enter any number in the input tields and then click Check Answer Print Done

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