Beta Company's budgeted prices for direct materials, direct manufacturing labor, and direct marketing (distribution) labor per luxury wallet are $41, $5, and $11, respectively. Assume all three direct-cost items shown are variable costs. The president is pleased with the following performance report: Direct materials Direct manufacturing labor Direct marketing (distribution) labor O A. 10,000 Actual Costs $373,500 48,600 103,500 What was the quantity of luxury wallets planned in the sales budget? OB. 9,110 OC. 9,720 O D. 9,410 Static Budget $410,000 50,000 110,000 Variance $36,500 F 1,400 F 6,500 F

Beta Company's budgeted prices for direct materials, direct manufacturing labor, and direct marketing (distribution) labor per luxury wallet are $41, $5, and $11, respectively. Assume all three direct-cost items shown are variable costs. The president is pleased with the following performance report: Direct materials Direct manufacturing labor Direct marketing (distribution) labor O A. 10,000 Actual Costs $373,500 48,600 103,500 What was the quantity of luxury wallets planned in the sales budget? OB. 9,110 OC. 9,720 O D. 9,410 Static Budget $410,000 50,000 110,000 Variance $36,500 F 1,400 F 6,500 F

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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Assume that a company has two cost drivers-number of courses and number of students. The planned number of courses and students were 5 and 100, respectively. The actual number of courses and students were 6 and 110, respectively. One of the company's expenses is influenced by both cost drivers. Its cost formulas are $58 per course and $7 per student. The total cost included in the planning budget for this expense would be:Multiple Choice$890.$ 990.$1,090.$1,190.
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