Sales : 60,000 Umbrellas
Ending Inventory : 20,000 Umbrellas
Using the information provided above and the costs and sales information provided in Section I , complete the following in the Hampshire Company Spreadsheet in order to assist you in responding to all components of Section II :
Prepare a variable costing income statement .
Prepare an absorption costing income statement .
Additionally , complete Parts A through E of Section II as outlined in the Final Project Guidelines and Rubric document .
Section III : Benchmarking
The management of the Hampshire Company would like to implement benchmarking . Standard costs have been established and are presented below . You will want to complete a variance analysis to include efficiency and price variances for materials ( cloth and handle assemblies ) and labor based on the following data :