Chapter 7 (Topics 7.4 &7.5) Little Sluggers Inc., manufacturer of aluminum bats, estimates sales of 100,000 units for June 2021. Based on that level of sales, the total costs for the month are projected at: $900,000 300,000 130,000 Direct material costs Direct labor costs Variable overhead Fixed overhead 75,000 Variable selling & administrative 30,000 expenses Fixed selling & administrative expenses 25,000 The sales price per unit is $25. At the end of June, the company reviews their results to see that actual sales in units were 120,000 and total costs for the month were: direct materials of $780,000; direct labor of $480,000; variable overhead of $144,000, fixed overhead of $75,000, variable S&A of S24,000, and fixed S&A of $25,000. Required: 1.) Prepare the company's Actual vs. Flexible Budget Variance Report. Make sure to calculate variances and indicate if variances are favorable (F) or unfavorable (U). 2.) In your opinion, did the company perform well in controlling their costs? Support your opinion.

Chapter 7 (Topics 7.4 &7.5) Little Sluggers Inc., manufacturer of aluminum bats, estimates sales of 100,000 units for June 2021. Based on that level of sales, the total costs for the month are projected at: $900,000 300,000 130,000 Direct material costs Direct labor costs Variable overhead Fixed overhead 75,000 Variable selling & administrative 30,000 expenses Fixed selling & administrative expenses 25,000 The sales price per unit is $25. At the end of June, the company reviews their results to see that actual sales in units were 120,000 and total costs for the month were: direct materials of $780,000; direct labor of $480,000; variable overhead of $144,000, fixed overhead of $75,000, variable S&A of S24,000, and fixed S&A of $25,000. Required: 1.) Prepare the company's Actual vs. Flexible Budget Variance Report. Make sure to calculate variances and indicate if variances are favorable (F) or unfavorable (U). 2.) In your opinion, did the company perform well in controlling their costs? Support your opinion.

Name: Chapter 7 (Topics 7.4 &7.5)Little Sluggers Inc., manufacturer of alum
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Description: Chapter 7 (Topics 7.4 &7.5)Little Sluggers Inc., manufacturer of aluminum bats, estimatessales of 100,000 units for June 2021. Based on that level ofsales, the total costs for the month are projected at:Direct material costs$900,000Direct labor cost

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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