CC Corp estimated the following financial data, for the 2020 production budget: Sales of 122,000 units...
CC Corp estimated the following financial data, for the 2020 production budget:
- Sales of 122,000 units
- Sales price of $40 per unit
- Variable expenses of $9.90 per unit
- Fixed costs of $3,050,000 for the year
At year end, actual sales data and costs were:
- Sales of 125,000 units
- Sales price of $38 per unit
- Variable expenses of $10.50 per unit
- Fixed costs of $3,000,000 for the year
- Create an Income Statement Performance Report, including favourable/unfavourable ratings for all Flex Budget Variances and Sales Volume Variances.
- Briefly explain the operating incomeflex budget result.
- If the Direct Materials Price Variance was $50,000 Favourable, and the Direct Materials Efficiency Variance was $90,000 Unfavourable, what was the Direct Labour Flex Budget Variance? Assume that the only other variable expense was variable overhead, and that its flex budget variance was zero.
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CC Corp estimated the following financial data, for the 2020
production budget:
Sales of 122,000 units...
CC Corp estimated the following financial data, for the 2020 production budget: Sales of 122,000 units...
CC Corp estimated the following financial data, for the 2020 production budget: Sales of 122,000 units Sales price of $40 per unit Variable expenses of $9.90 per unit Fixed costs of $3,050,000 for the year At year end, actual sales data and costs were: Sales of 125,000 units Sales price of $38 per unit Variable expenses of $10.50 per unit Fixed costs of $3,000,000 for the year Create an Income Statement Performance Report, including favourable/unfavourable ratings for all Flex Budget...
CC Corp estimated the following financial data, for the 2020 production budget: Sales of 122,000 units...
CC Corp estimated the following financial data, for the 2020 production budget: Sales of 122,000 units Sales price of $40 per unit Variable expenses of $9.90 per unit Fixed costs of $3,050,000 for the year At year end, actual sales data and costs were: Sales of 125,000 units Sales price of $38 per unit Variable expenses of $10.50 per unit Fixed costs of $3,000,000 for the year Create an Income Statement Performance Report, including favourable/unfavourable ratings for all Flex Budget...
QUESTION 1 (40 points) CC Corp estimated the following financial data, for the 2020 production budget:...
QUESTION 1 (40 points) CC Corp estimated the following financial data, for the 2020 production budget: Sales of 122,00o units Sales price of $40 per unit Variable expenses of $9.90 per unit Fixed costs of $3,050,000 for the year At year end, actual sales data and costs were: Sales of 125,000 units Sales price of $38 per unit Variable expenses of $10.50 per unit Fixed costs of $3,000,000 for the year A. Create an Income Statement Performance Report, including favourable/unfavourable...
The master budget at Western Company last period called for sales of 225,900 units at $9.90...
The master budget at Western Company last period called for sales of 225,900 units at $9.90 each. The costs were estimated to be $3.84 variable per unit and $225,900 fixed. During the period, actual production and actual sales were 230,900 units. The selling price was $10.00 per unit. Variable costs were $5.40 per unit. Actual fixed costs were $225,900. Required: Prepare a profit variance analysis. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable....
Mark: 19 (1 point for each question) 1) The unemployment rate is high in the city...
Mark: 19 (1 point for each question) 1) The unemployment rate is high in the city in which a company has a factory. The company finds that they are able to pay new employees a lower wage per hour than when the unemployment rate was lower a year ago. Which variance is directly impacted? A) Materials price variance B) Materials efficiency variance C) Labour price variance D) Labour efficiency variance 2) Thomas Corporation produces stopwatches. According to company standards, it...
Waterways Continuing Problem 12 At the end of June the manager of the B.C. manufacturing plant...
Waterways Continuing Problem 12
At the end of June the manager of the B.C. manufacturing plant
was provided with the following variance analysis report:
Budget
Actual
Variance
Favourable (F)/
Unfavourable (U)
Production in units
332,000
347,000
15,000
F
Production costs:
Direct material
$996,000
$1,017,940
$(21,940)
U
Direct labour
1,411,000
1,442,700
(31,700)
U
Variable overhead costs
166,000
172,957
(6,957)
U
Fixed overhead costs
174,300
168,620
5,680
F
Total production costs
$2,747,300
$2,802,217
$(54,917)
U
The manager immediately called the production supervisor,...
Acme Company's production budget for August is 18,000 units and includes the following component unit costs:...
Acme Company's production budget for August is 18,000 units and includes the following component unit costs: direct materials, $8.0; direct labor, $10.5; variable overhead, $6.4. Budgeted fixed overhead is $37,000. Actual production in August was 19,950 units. Actual unit component costs incurred during August include direct materials, $8.70; direct labor, $9.90; variable overhead, $7.30. Actual fixed overhead was $39,000. The standard fixed overhead application rate per unit consists of $2 per machine hour and each unit is allowed a standard...
Tempo Company's fixed budget (based on sales of 14,000 units) for the first quarter of calendar...
Tempo Company's fixed budget (based on sales of 14,000 units) for the first quarter of calendar year 2017 reveals the following Fixed Budget Sales (14,000 units) Cost of goods sold $2,912,000 Direct materials Direct labor Production supplies Plant manager salary $322,000 602,000 392,000 122,000 1,438,000 Gross profit Selling expenses 1,474,000 Sales commissions Packaging Advertising 112,000 224,000 100.000 436,000 Administrative expenses Administrative salaries Depreciation-office equ Insurance Office rent 172,000 142,000 112,000 122,000 ip. 548,000 490,000 Income from operations Complete the following...
Acme Company's production budget for August is 18,000 units and includes the following component unit costs:...
Acme Company's production budget for August is 18,000 units and includes the following component unit costs: direct materials. 58.0 direct labor, 510.5, variable overhead, $6.4. Budgeted fixed overhead is $37,000. Actual production in August was 19.950 units. Actual unit component costs incurred during August include direct materials, $8.70; direct labor, $9.90: variable overhead, 5730. Actual fixed overhead was $39.000. The standard variable overhead rate per unit consists of $6.4 per machine hour and each unit is allowed a standard of...
The master budget at Western Company last period called for sales of 225,800 units at $9.8...
The master budget at Western Company last period called for sales of 225,800 units at $9.8 each. The costs were estimated to be $3.83 variable per unit and $225,800 fixed. During the period, actual production and actual sales were 230,800 units. The selling price was $9.90 per unit. Variable costs were $5.30 per unit. Actual fixed costs were $225,800. Required: Prepare a sales activity variance analysis. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for...
QUESTION 1 (40 points) CC Corp estimated the following financial data, for the 2020 production budget: Sales of 122,00o units Sales price of $40 per unit Variable expenses of $9.90 per unit Fixed costs of $3,050,000 for the year At year end, actual sales data and costs were: Sales of 125,000 units Sales price of $38 per unit Variable expenses of $10.50 per unit Fixed costs of $3,000,000 for the year A. Create an Income Statement Performance Report, including favourable/unfavourable...
The master budget at Western Company last period called for sales of 225,900 units at $9.90 each. The costs were estimated to be $3.84 variable per unit and $225,900 fixed. During the period, actual production and actual sales were 230,900 units. The selling price was $10.00 per unit. Variable costs were $5.40 per unit. Actual fixed costs were $225,900. Required: Prepare a profit variance analysis. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable....
Mark: 19 (1 point for each question) 1) The unemployment rate is high in the city in which a company has a factory. The company finds that they are able to pay new employees a lower wage per hour than when the unemployment rate was lower a year ago. Which variance is directly impacted? A) Materials price variance B) Materials efficiency variance C) Labour price variance D) Labour efficiency variance 2) Thomas Corporation produces stopwatches. According to company standards, it...
Waterways Continuing Problem 12
At the end of June the manager of the B.C. manufacturing plant
was provided with the following variance analysis report:
Budget
Actual
Variance
Favourable (F)/
Unfavourable (U)
Production in units
332,000
347,000
15,000
F
Production costs:
Direct material
$996,000
$1,017,940
$(21,940)
U
Direct labour
1,411,000
1,442,700
(31,700)
U
Variable overhead costs
166,000
172,957
(6,957)
U
Fixed overhead costs
174,300
168,620
5,680
F
Total production costs
$2,747,300
$2,802,217
$(54,917)
U
The manager immediately called the production supervisor,...
Acme Company's production budget for August is 18,000 units and includes the following component unit costs: direct materials, $8.0; direct labor, $10.5; variable overhead, $6.4. Budgeted fixed overhead is $37,000. Actual production in August was 19,950 units. Actual unit component costs incurred during August include direct materials, $8.70; direct labor, $9.90; variable overhead, $7.30. Actual fixed overhead was $39,000. The standard fixed overhead application rate per unit consists of $2 per machine hour and each unit is allowed a standard...
Tempo Company's fixed budget (based on sales of 14,000 units) for the first quarter of calendar year 2017 reveals the following Fixed Budget Sales (14,000 units) Cost of goods sold $2,912,000 Direct materials Direct labor Production supplies Plant manager salary $322,000 602,000 392,000 122,000 1,438,000 Gross profit Selling expenses 1,474,000 Sales commissions Packaging Advertising 112,000 224,000 100.000 436,000 Administrative expenses Administrative salaries Depreciation-office equ Insurance Office rent 172,000 142,000 112,000 122,000 ip. 548,000 490,000 Income from operations Complete the following...
Acme Company's production budget for August is 18,000 units and includes the following component unit costs: direct materials. 58.0 direct labor, 510.5, variable overhead, $6.4. Budgeted fixed overhead is $37,000. Actual production in August was 19.950 units. Actual unit component costs incurred during August include direct materials, $8.70; direct labor, $9.90: variable overhead, 5730. Actual fixed overhead was $39.000. The standard variable overhead rate per unit consists of $6.4 per machine hour and each unit is allowed a standard of...
The master budget at Western Company last period called for sales of 225,800 units at $9.8 each. The costs were estimated to be $3.83 variable per unit and $225,800 fixed. During the period, actual production and actual sales were 230,800 units. The selling price was $9.90 per unit. Variable costs were $5.30 per unit. Actual fixed costs were $225,800. Required: Prepare a sales activity variance analysis. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for...
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