Question 2.2 . ( TCO B ) The Nebraska Company manufactures a product that goes through three processing departments . Information relating to activity in the first department during June is given below . Percentage Completed Units Materials Conversion Work in process , June 1 140,000 65 % 45 % Work in process , Jun 30 120,000 75 % 65 % The department started 580,000 units into production during the month and transferred 600,000 completed units to the next department . Question 3.3 . ( TCO C ) A tile manufacturer has supplied the following data . Boxes of tile produced and sold 625,000 Sales revenue $ 2,975,000 Variable manufacturing expense $ 1,720,000 Fixed manufacturing expense $ 790,000 Variable selling and admin expense $ 152,000 Fixed selling and admin expense $ 133,000 Net operating income $ 180,000 Question 4.4 . ( TCO D ) The Hampton Company produces and sells a single product . The following data refer to the year just completed . Selling price $ 450
Units in beginning inventory 0 Units produced 25,000 Units sold 22,000
Variable costs per unit : Direct materials $ 150 Direct labor $ 75 Variable manufacturing overhead $ 25 Variable selling and admin $ 15
Fixed costs : Fixed manufacturing overhead $ 275,000 Fixed selling and admin $ 200,000 Required : Compute the cost of a single unit of product under both the absorption costing and variable costing approaches .