question archive The following budgeted and actual volume and cost data are for July of this year
The following budgeted and actual volume and cost data are for July of this year
Subject:AccountingPrice: Bought3
The following budgeted and actual volume and cost data are for July of this year.Prepare a flexible budget analysis for July of this year by filling in the Flexible budget amounts based on the actual sales volume and calculating the variances. DON’T FORGET TO INDICATE WHETHER THEY ARE FAVORABLE OR UNFAVORABLE!Budget (per unit)BudgetActualFLEXIBLE BUDGETVarianceVolume40,00040,00036,00036,000Sales Revenue$70 per unit$2,800,000$2,520,000Budgeted manufacturing costs:Variable costs:Direct materials$35.00$1,400,000$1,350,000Direct labor15.00600,000580,000Overhead5.00200,000180,000Total fixed overhead costs$450,000450,000406,000Net Income before taxes$150,0004,000
