Campbell Manufacturing Company established the following standard price and cost data: Sales price $ 8.70 per unit Variable manufacturing cost $ 3.60 per unit Fixed manufacturing cost $ 2,600 total Fixed selling and administrative cost $ 600 total Campbell planned to produce and sell 2,600 units. Actual production and sales amounted to 2,800 units. Assume that the actual sales price is $8.35 per unit and that the actual variable cost is $3.75 per unit. The actual fixed manufacturing cost is $2,000, and the actual selling and administrative costs are $630. Required a.&b. Determine the flexible budget variances and classify the variances by selecting favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)
Campbell Manufacturing Company established the following standard price and cost data: Sales price $ 8.70 per unit Variable manufacturing cost $ 3.60 per unit Fixed manufacturing cost $ 2,600 total Fixed selling and administrative cost $ 600 total Campbell planned to produce and sell 2,600 units. Actual production and sales amounted to 2,800 units. Assume that the actual sales price is $8.35 per unit and that the actual variable cost is $3.75 per unit. The actual fixed manufacturing cost is $2,000, and the actual selling and administrative costs are $630. Required a.&b. Determine the flexible budget variances and classify the variances by selecting favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Campbell Manufacturing Company established the following standard price and cost data:
| Sales price | $ | 8.70 | per unit |
| Variable |
$ | 3.60 | per unit |
| Fixed manufacturing cost | $ | 2,600 | total |
| Fixed selling and administrative cost | $ | 600 | total |
Campbell planned to produce and sell 2,600 units. Actual production and sales amounted to 2,800 units.
Assume that the actual sales price is $8.35 per unit and that the actual variable cost is $3.75 per unit. The actual fixed manufacturing cost is $2,000, and the actual selling and administrative costs are $630.
Required
a.&b. Determine the flexible
Transcribed Image Text:Sales
Variable manufacturing
Contribution margin
Fixed manufacturing
Fixed selling and administrative cost
Net income (loss)
Flexible Budget
Variances
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