Write a paper of no more than 350 words after completing Exercise 19-17 in WileyPLUS in which you respond to the following questions;In this case, would it be better to use the variable or absorption costing method, and why?;What are the benefits of the two methods?;Which method would lead to the best decision when a competitor is submitting a lower bid for your product?;Exercise 19-17;Polk Company builds custom fishing lures for sporting goods stores. In its first year of operations, 2012, the company incurred the following costs.;Variable Cost per Unit;Direct materials $7.88;Direct labor $2.57;Variable manufacturing overhead $6.04;Variable selling and administrative expenses $4.10;Fixed Costs per Year;Fixed manufacturing overhead $246,568;Fixed selling and administrative expenses $252,105;Polk Company sells the fishing lures for $26.25. During 2012, the company sold 80,600 lures and produced 95,200 lures.
Paper#77375 | Written in 18-Jul-2015Price : $22