Please complete the below problems and submit your answers in the Week 2 Dropbox. See "Syllabus/Due Dates for Assignments & Exams" for due date information.
1.Success Manufacturing sold 540,000 units of its product for $72 per unit in 2011. Variable cost per unit is $54 and total fixed costs are $2,140,000.
a.Prepare the following:
i.Contribution margin income statement
2.Consider the following selected cost data for the Herbivore Manufacturing Company for 2011:
Budgeted manufacturing overhead costs $8,500,000
Budgeted machine hours 350,000
Actual manufacturing overhead costs $8,100,000
Actual machine-hours 335,000