Question

In: Accounting

Exercise 8-2 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 12,000...

Exercise 8-2 Preparing flexible budgets LO P1

Tempo Company's fixed budget (based on sales of 12,000 units) for the first quarter of calendar year 2017 reveals the following.

Fixed Budget
Sales (12,000 units) $ 2,604,000
Cost of goods sold
Direct materials $ 300,000
Direct labor 516,000
Production supplies 324,000
Plant manager salary 100,000 1,240,000
Gross profit 1,364,000
Selling expenses
Sales commissions 96,000
Packaging 168,000
Advertising 100,000 364,000
Administrative expenses
Administrative salaries 150,000
Depreciation—office equip. 120,000
Insurance 90,000
Office rent 100,000 460,000
Income from operations $ 540,000


Complete the following flexible budgets for sales volumes of 10,000, 12,000, and 14,000 units. (Round cost per unit to 2 decimal places.)

TEMPO COMPANY
Flexible Budgets
For Quarter Ended March 31, 2017
------Flexible Budget------ ------Flexible Budget at ------
Variable Amount per Unit Total Fixed Cost 10,000 units 12,000 units 14,000 units
Variable costs:
0.00 0 0 0
Fixed costs:
0 0 0 0

Solutions

Expert Solution

ekkarill92 answered 2 months ago
Next > < Previous

Related Solutions

Exercise 21-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 12,000...
Exercise 21-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 12,000 units) for the first quarter reveals the following. Fixed Budget Sales (12,000 units × $213 per unit) $ 2,556,000 Cost of goods sold Direct materials $ 300,000 Direct labor 528,000 Production supplies 324,000 Plant manager salary 100,000 1,252,000 Gross profit 1,304,000 Selling expenses Sales commissions 96,000 Packaging 192,000 Advertising 100,000 388,000 Administrative expenses Administrative salaries 150,000 Depreciation—office equip. 120,000 Insurance 90,000 Office rent 100,000...
Exercise 23-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 12,000...
Exercise 23-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 12,000 units) for the first quarter reveals the following. Fixed Budget Sales (12,000 units × $212 per unit) $ 2,544,000 Cost of goods sold Direct materials $ 300,000 Direct labor 528,000 Production supplies 336,000 Plant manager salary 100,000 1,264,000 Gross profit 1,280,000 Selling expenses Sales commissions 96,000 Packaging 168,000 Advertising 100,000 364,000 Administrative expenses Administrative salaries 150,000 Depreciation—office equip. 120,000 Insurance 90,000 Office rent 100,000...
Exercise 21-2 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 16,000...
Exercise 21-2 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 16,000 units) for the first quarter of calendar year 2017 reveals the following. Fixed Budget Sales (16,000 units) $ 3,232,000 Cost of goods sold Direct materials $ 384,000 Direct labor 688,000 Production supplies 432,000 Plant manager salary 184,000 1,688,000 Gross profit 1,544,000 Selling expenses Sales commissions 144,000 Packaging 240,000 Advertising 100,000 484,000 Administrative expenses Administrative salaries 234,000 Depreciation—office equip. 204,000 Insurance 174,000 Office rent 184,000...
Exercise 21-2 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 14,000...
Exercise 21-2 Preparing flexible budgets LO P1 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) $ 2,856,000 Cost of goods sold Direct materials $ 350,000 Direct labor 616,000 Production supplies 364,000 Plant manager salary 150,000 1,480,000 Gross profit 1,376,000 Selling expenses Sales commissions 112,000 Packaging 210,000 Advertising 100,000 422,000 Administrative expenses Administrative salaries 200,000 Depreciation—office equip. 170,000 Insurance 140,000 Office rent 150,000...
Exercise 21-2 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000...
Exercise 21-2 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) for the first quarter of calendar year 2017 reveals the following. Fixed Budget Sales (10,000 units) $ 2,150,000 Cost of goods sold Direct materials $ 250,000 Direct labor 420,000 Production supplies 260,000 Plant manager salary 50,000 980,000 Gross profit 1,170,000 Selling expenses Sales commissions 70,000 Packaging 150,000 Advertising 100,000 320,000 Administrative expenses Administrative salaries 100,000 Depreciation—office equip. 70,000 Insurance 40,000 Office rent 50,000...
Exercise 21-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000...
Exercise 21-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) for the first quarter reveals the following. Fixed Budget Sales (10,000 units × $211 per unit) $ 2,110,000 Cost of goods sold Direct materials $ 230,000 Direct labor 440,000 Production supplies 270,000 Plant manager salary 30,000 970,000 Gross profit 1,140,000 Selling expenses Sales commissions 70,000 Packaging 160,000 Advertising 100,000 330,000 Administrative expenses Administrative salaries 80,000 Depreciation—office equip. 50,000 Insurance 20,000 Office rent 30,000...
Exercise 08-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000...
Exercise 08-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) for the first quarter reveals the following. Fixed Budget Sales (10,000 units × $213 per unit) $ 2,130,000 Cost of goods sold Direct materials $ 250,000 Direct labor 420,000 Production supplies 280,000 Plant manager salary 50,000 1,000,000 Gross profit 1,130,000 Selling expenses Sales commissions 90,000 Packaging 150,000 Advertising 100,000 340,000 Administrative expenses Administrative salaries 100,000 Depreciation—office equip. 70,000 Insurance 40,000 Office rent 50,000...
Exercise 08-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000...
Exercise 08-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) for the first quarter reveals the following. Fixed Budget Sales (10,000 units × $219 per unit) $ 2,190,000 Cost of goods sold Direct materials $ 240,000 Direct labor 440,000 Production supplies 270,000 Plant manager salary 40,000 990,000 Gross profit 1,200,000 Selling expenses Sales commissions 80,000 Packaging 160,000 Advertising 100,000 340,000 Administrative expenses Administrative salaries 90,000 Depreciation—office equip. 60,000 Insurance 30,000 Office rent 40,000...
Exercise 21-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000...
Exercise 21-3 Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 10,000 units) for the first quarter reveals the following. Fixed Budget Sales (10,000 units × $203 per unit) $ 2,030,000 Cost of goods sold Direct materials $ 240,000 Direct labor 420,000 Production supplies 260,000 Plant manager salary 40,000 960,000 Gross profit 1,070,000 Selling expenses Sales commissions 90,000 Packaging 150,000 Advertising 100,000 340,000 Administrative expenses Administrative salaries 90,000 Depreciation—office equip. 60,000 Insurance 30,000 Office rent 40,000...
Tempo Company's fixed budget (based on sales of 12,000 units) for the first quarter reveals the...
Tempo Company's fixed budget (based on sales of 12,000 units) for the first quarter reveals the following. Fixed Budget Sales (12,000 units × $215 per unit) $ 2,580,000 Cost of goods sold Direct materials $ 288,000 Direct labor 504,000 Production supplies 324,000 Plant manager salary 88,000 1,204,000 Gross profit 1,376,000 Selling expenses Sales commissions 96,000 Packaging 180,000 Advertising 100,000 376,000 Administrative expenses Administrative salaries 138,000 Depreciation—office equip. 108,000 Insurance 78,000 Office rent 88,000 412,000 Income from operations $ 588,000 (1)...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT