Benefit Pillow Company projected sales of 76,000 units for the year at a unit sales price of $13.00. Actual sales for the year were 72,000 units at $20 per unit. Variable costs were budgeted at $4.50 per unit, and the actual variable cost was $4.75 per unit. Budgeted fixed costs totaled $377,000 while actual fixed costs amounted to $400,000. What is the flexible budget variance for operating income? A. $463,000 unfavorable OB. $235,000 unfavorable OC. $463,000 favorable D. $486,000 favorable CEED

Benefit Pillow Company projected sales of 76,000 units for the year at a unit sales price of $13.00. Actual sales for the year were 72,000 units at $20 per unit. Variable costs were budgeted at $4.50 per unit, and the actual variable cost was $4.75 per unit. Budgeted fixed costs totaled $377,000 while actual fixed costs amounted to $400,000. What is the flexible budget variance for operating income? A. $463,000 unfavorable OB. $235,000 unfavorable OC. $463,000 favorable D. $486,000 favorable CEED

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Subject: accounting
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