This problem is for Cost Accounting Exercise 10-3 (chapter 10
Ex. 3)
The chief executive officer of Acadia, Inc. attended a
conference in which one of the sessions was devoted to variable
costing. The CEO was impressed by the presentation and was asked
that the following data of Acadia, Inc. be used to prepare
comparative statements using variable costing and the company's
absorption costing. The data follow:
Direct
Materials.......................................................................
$90,000
Direct
Labor.............................................................................
120,000
Variable Factory
Overhead........................................................
60,000
Fixed Factory
Overhead................................................................