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QUESTION 2 (22 marks; 36 minutes) The Zwatch Company manufactures trendy, high-quality moderately priced watches. senior financial analyst, you are asked to recommend a method of inventory costing. The your recommendation to prepare Zwatch's 2018 income statement. The following data is ended 31 December 2018 : sume standard costs per unit are the same for units in beginning inventon ring the year. Any production-volume variance is written off to cost of god ich it occurs. yuired: Prepare income statement under absorption costing for the year e Prepare income statement under variable costing for the year end Reconcile the profits..

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QUESTION 2 (22 marks; 36 minutes) The Zwatch Company manufactures trendy, high-quality moderately priced watches. senior financial analyst, you are asked to recommend a method of inventory costing. The your recommendation to prepare Zwatch's 2018 income statement. The following data is ended 31 December 2018 : sume standard costs per unit are the same for units in beginning inventon ring the year. Any production-volume variance is written off to cost of god ich it occurs. yuired: Prepare income statement under absorption costing for the year e Prepare income statement under variable costing for the year end Reconcile the profits.

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  • 1. QUESTION 2 (22 marks; 36 minutes) The Zwatch Company manufactures trendy, high-quality moderately priced watches. senior financial analyst, you are asked to recommend a method of inventory costing. The your recommendation to prepare Zwatch's 2018 income statement. The following data is ended 31 December 2018 : sume standard costs per unit are the same for units in beginning inventon ring the year. Any production-volume variance is written off to cost of god ich it occurs. yuired: Prepare income statement under absorption costing for the year e Prepare income statement under variable costing for the year end Reconcile the profits.