Exercise 8-3 (Algo) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) folllows. Fixed Budget Sales (10,000 units x $202 per unit) Costs Direct materials Direct labor Indirect materials 2,020,000 250,000 430,000 270,000 Supervisor salary 50,000 Sales commissions 90,000 Shipping 150,000 Administrative salaries 100,000 Depreciation-Office equipment 70,000 Insurance 40,000 Office rent 50,000 Income 520,000 1. Compute total variable cost per unit. 2 Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Variable costs Fixed costs TEMPO COMPANY Flexible Budget Variable Amount per Unit Total Fixed Cost Units Sales of 3,000 Flexible Budget for Unit Sales of 12,000 < Required 2 0.00 0 $ S 0 $ 0 Required

Exercise 8-3 (Algo) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) folllows. Fixed Budget Sales (10,000 units x $202 per unit) Costs Direct materials Direct labor Indirect materials 2,020,000 250,000 430,000 270,000 Supervisor salary 50,000 Sales commissions 90,000 Shipping 150,000 Administrative salaries 100,000 Depreciation-Office equipment 70,000 Insurance 40,000 Office rent 50,000 Income 520,000 1. Compute total variable cost per unit. 2 Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Variable costs Fixed costs TEMPO COMPANY Flexible Budget Variable Amount per Unit Total Fixed Cost Units Sales of 3,000 Flexible Budget for Unit Sales of 12,000 < Required 2 0.00 0 $ S 0 $ 0 Required

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 7P: Preparing a performance report Use the flexible budget prepared in P7-6 for the 31,000-unit level...

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Refer to Cornerstone Exercise 8.6. Required: 1. Calculate the total budgeted cost of units produced for Play-Disc for the coming year. Show the cost of direct materials, direct labor, and overhead. 2. Prepare a cost of goods sold budget for Play-Disc for the year. 3. What if the beginning inventory of finished goods was 75,200 (for 16,000 units)? How would that affect the cost of goods sold budget? (Assume Play-Disc uses the FIFO method.) Play-Disc makes Frisbee-type plastic discs. Each 12-inch diameter plastic disc has the following manufacturing costs: For the coming year, Play-Disc expects to make 300,000 plastic discs, and to sell 285,000 of them. Budgeted beginning inventory in units is 16,000 with unit cost of 4.75. (There are no beginning or ending inventories of work in process.) Required: 1. Prepare an ending finished goods inventory budget for Play-Disc for the coming year. 2. What if sales increased to 290,000 discs? How would that affect the ending finished goods inventory budget? Calculate the value of budgeted ending finished goods inventory.
Preparing a performance report Use the flexible budget prepared in P7-6 for the 31,000-unit level and the actual operating results listed below for the 31,000-unit level. Required: 1. Prepare a performance report. 2. List the major reasons why the actual operating income at 31,000 units differs from the master budget operating income at 30,000 units in Figure 7-12. 3. Given the level at which the company operated, how was its cost control? Item Direct materials: Direct labor:
Vishal empo Company's fixed budget (based on sales of 14,000 units) folllows.Fixed BudgetSales (14,000 units × $207 per unit)2,898,000Costs Direct materials336,000Direct labor602,000Indirect materials364,000Supervisor salary136,000Sales commissions112,000Shipping210,000Administrative salaries186,000Depreciation—Office equipment156,000Insurance126,000Office rent136,000Income534,000 1. Compute total variable cost per unit.2. Compute total fixed costs.3. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units. TEMPO COMPANY Flexible BudgetFlexible Budget for: Variable Amount per UnitTotal Fixed CostUnits Sales of 12,000Unit Sales of 16,000Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Shipping Total variable costs0.00 00Contribution margin Fixed costs Supervisor salary Administration salaries…
Accounting Please solve it ASAP with all requirements Q.7. Toews Ltd has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. £ Sales 250,000 Direct material 75,000 Direct labour 60,000 Variable overheads 30,000 Fixed overheads 45,000 Profit 22,500 lf the budget is flexed to a level of activity of 10,000 units, what would the total budgeted cost be? a) £280,000 b) £265,000 c) £123,750 d) £168,750
Main,do?invoker=&takeAssignmentSessionLocator=&inprogress=false еВook Using the following budgeted information for production of 9,000 and 16,000 units, prepare a flexible budget for 17,000 units. Production 9,000 units 16,000 units Expense A $14,400 $25,600 Expense B 21,000 21,000 Expense C 45,000 #5,000 Total expenses $
Assume that a company provided the following excerpts of information from its flexible budget performance report: Actual Results Flexible Budget Planning Budget Flights (q) 52 ? ? Expenses: Wages and salaries ($4,000 + $88.00q) $ 8,450 ? $ 8,400 What is the spending variance for wages and salaries expense? Multiple Choice $176 U $126 F $176 F $126 U
Pls provide solution The International Company makes and sells only one product, Product SW. The company is in the process of preparing its Selling and Administrative Expense Budget for the last half of the year. The following budget data are available:VC/unit soldSales commissions P0.70Shipping 1.10Advertising 0.20 Other 2.5 Fc per month Executive salaries, 34,000Depreciation on office equipment-, 11,000Other, 19,000 Advertising, 14,000 If the company has budgeted to sell 20,000 units of Product SW in October then the total budgeted variable selling and administrative expenses for October will be:a.P45,000b.P56,250c.P40,000d.P78,000
uiz i 2 Required information [The following information applies to the questions displayed below.] The fixed budget for 20,900 units of production shows sales of $438,900; variable costs of $62,700; and fixed costs of $142,000. If the company actually produces and sells 27,300 units, calculate the flexible budget income. Contribution margin Flexible Budget------ ---Flexible Budget at --- Variable Amount per Unit Total Fixed Cost 20,900 units 27,300 units
Other variabie coeta 5,806 9,100 $42,500 Fixed service oonta Total service conts Marketing and adninistrative costa Marketing (variable vith respeet to neala) Administrative (Eixed) Total narketing and adminietrative conta 6,400 4,200 $10,600 2otal conta $53,100 Required: Prepare a budgeted income statement for June. (Do not round intermedlate calculations.) Carreras Cafe Budgeted Income Sitatement For the month of June Service conts Total service costo Alext
K The actul normation pertens to the third quarter As part of the budgeting process the Duck Decoy Department of Paraith incorporated had deveped the town st Oy the process of preparing the fiebe budget and understanding the nuts Sales volume in ont) Se Fixed costs Operating prot The budgo will report CA $225750 OB $116.700 Actual Results Flexible Budget Static Budget 15,000 12.000 1241,000 S 140.000 OD $37.0000 5,000 37,000 $50,000 $234,000 183.000 51.000 30,000 $21.000 1 for variable costs (Round any intermediate calculations to the nearend cont and round your frial to the need SHO
Problem 13-57 (Algo) Sales Expense Budget (LO 13-4) SPU, Ltd., has just recelved its sales expense report for January, which follows. Item Amount Sales commissions $370, 500 9e,400 Sales staff salaries Telephone and mailing Building lease payment 51, 000 60,000 19,100 8e, 000 33,750 51,190 Utilities Packaging and delivery Depreciation Marketing consultants You have been asked to develop budgeted costs for the coming year. Because this month is typical, you decide to prepare an estimated budget for a typical month in the coming year and you uncover the following additional data: Sales volume is expected to Increase by 14 percent. Sales prices are expected to decrease by 10 percent. Commissions are based on a percentage of sales revenue. • Sales staff salarles will increase 4 percent next year regardless of sales volume. • Bullding rent is based on a five-year lease that expires in three years. • Telephone and malling expenses are scheduled to Increase by 6 percent even with no change In…
esc Using the incomplete Flexible Budget Performance Report below, calculate the total fixed costs on the Flexible Budget (at 120 hours). Flexible Budget (120 hours) Sales Revenue Total Variable Costs Total Fixed Costs Total Fixed Costs at 120 hours = Click Save and Submit to save and submit. Click Save All Answers to save all answers. ! 1 Q 2 W Master Budget (100 hours) $2,000 $500 $700 #3 E S A 4 % 07 20 ? ? ? R 5 MacBook Pro < C 6 T & of r ㄱ Y