Fanning Publications established the following standard price and costs for a hardcover picture book that the...

Fanning Publications established the following standard price and costs for a hardcover picture book that the company produces.


Standard price and variable costs
Sales price	$	36.10
Materials cost		8.30
Labor cost		3.70
Overhead cost		5.50
Selling, general, and administrative costs		6.70
Planned fixed costs
Manufacturing overhead	$	135,000
Selling, general, and administrative		46,000

Fanning planned to make and sell 36,000 copies of the book.

Required:

a. - d. Prepare the pro forma income statement that would appear in the master budget and also flexible budget income statements, assuming production volumes of 35,000 and 37,000 units. Determine the sales and variable cost volume variances, assuming volume is actually 37,000 units. Indicate whether the variances are favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)

Solutions

Expert Solution

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Fanning Publications established the following standard price and costs for a hardcover picture book that the...

Fanning Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 36.70 Materials cost 8.50 Labor cost 3.60 Overhead cost 5.50 Selling, general, and administrative costs 7.10 Planned fixed costs Manufacturing overhead $ 125,000 Selling, general, and administrative 48,000 Fanning planned to make and sell 27,000 copies of the book. Required: a. - d. Prepare the pro forma income statement that would appear in the...

Franklin Publications established the following standard price and costs for a hardcover picture book that the...

Franklin Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 36.10 Materials cost 8.50 Labor cost 4.10 Overhead cost 6.30 Selling, general, and administrative costs 6.90 Planned fixed costs Manufacturing overhead $ 134,000 Selling, general, and administrative 48,000 Assume that Franklin actually produced and sold 33,000 books. The actual sales price and costs incurred follow: Actual price and variable costs Sales price $ 35.10...

Gibson Publications established the following standard price and costs for a hardcover picture book that the...

Gibson Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 36.10 Materials cost 8.80 Labor cost 3.90 Overhead cost 5.40 Selling, general, and administrative costs 7.00 Planned fixed costs Manufacturing overhead $ 134,000 Selling, general, and administrative 47,000 Gibson planned to make and sell 28,000 copies of the book. Required: a. - d. Prepare the pro forma income statement that would appear in the...

Thornton Publications established the following standard price and costs for a hardcover picture book that the...

Thornton Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 36.50 Materials cost 8.50 Labor cost 4.30 Overhead cost 5.50 Selling, general, and administrative costs 6.80 Planned fixed costs Manufacturing overhead $ 135,000 Selling, general, and administrative 51,000 Thornton planned to make and sell 21,000 copies of the book. Required: a. - d. Prepare the pro forma income statement that would appear in the...

Finch Publications established the following standard price and costs for a hardcover picture book that the...

Finch Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 36.20 Materials cost 8.80 Labor cost 4.30 Overhead cost 5.30 Selling, general, and administrative costs 6.50 Planned fixed costs Manufacturing overhead $ 135,000 Selling, general, and administrative 51,000 Finch planned to make and sell 36,000 copies of the book. Required: a. - d. Prepare the pro forma income statement that would appear in the...

Benson Publications established the following standard price and costs for a hardcover picture book that the...

Benson Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 36.20 Materials cost 8.60 Labor cost 3.50 Overhead cost 5.90 Selling, general, and administrative costs 6.40 Planned fixed costs Manufacturing overhead $ 134,000 Selling, general, and administrative 54,000 Benson planned to make and sell 35,000 copies of the book. Required: a. Prepare the pro forma income statement that would appear in the master budget...

Benson Publications established the following standard price and costs for a hardcover picture book that the...

Benson Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 37.00 Materials cost 8.20 Labor cost 3.80 Overhead cost 6.00 Selling, general, and administrative costs 6.40 Planned fixed costs Manufacturing overhead $ 129,000 Selling, general, and administrative 52,000 Assume that Benson actually produced and sold 33,000 books. The actual sales price and costs incurred follow: Actual price and variable costs Sales price $ 36.00...

1. Munoz Publications established the following standard price and costs for a hardcover picture book that...

1. Munoz Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price $ 36.30 Materials cost 8.20 Labor cost 3.60 Overhead cost 5.80 Selling, general, and administrative costs 6.80 Planned fixed costs Manufacturing overhead $ 134,000 Selling, general, and administrative 51,000 Munoz planned to make and sell 23,000 copies of the book. Required: a. - d. Prepare the pro forma income statement that would appear in...

Zachary Manufacturing Company established the following standard price and cost data:

Zachary Manufacturing Company established the following standard price and cost data: Sales price$8.90per unitVariable manufacturing cost$3.70per unitFixed manufacturing cost$2,100totalFixed selling and administrative cost$1,000totalZachary planned to produce and sell 3,000 units. Actual production and sales amounted to 3,300 units.Assume that the actual sales price is $8.70 per unit and that the actual variable cost is $3.95 per unit. The actual fixed manufacturing cost is $1,900, and the actual selling and administrative costs are $1,030.Requireda.&b. Determine the flexible budget variances and classify the...

Saudia Manufacturing Company established the following standard price and cost information: Sales...

Saudia Manufacturing Company established the following standard price and cost information: Sales price $ 50 per unit Variable manufacturing cost 32 per unit Fixed manufacturing cost $ 100,000 total Fixed selling and administrative cost $ 40,000 total Saudia Company expected to produce and sell 25,000 units. Actual production and sales amounted to 26,500 units. Required: Complete the following table (a) Determine the sales volume variances, including variances for number of units, sales revenue, variable manufacturing...

Subjects