8-30 Refer to the information given in the preceding problem for Great Outdoze, Inc. Assume that direct material is the only unit-level manufacturing cost. The company has committed its spending for direct labor and overhead (variable and fixed).
Required:
1. Calculate the product cost per sleeping bag under throughput costing.
2. Prepare an income statement for the year 20x4 using throughput costing.
3. Give an argument for and against throughput costing.
Check: 2. Throughput costing, gross margin: $1,980,000
Click here for the solution: Refer to the information given in the preceding problem for Great Outdoze, Inc
