Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a flexible budget at activity levels of 12,000 units and 16,000 units. TEMPO COMPANY Flexible Budget Variable Amount Total Fixed per Unit Cost Flexible Budget for: Units Sales Unit Sales of of 12,000 16,000
Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a flexible budget at activity levels of 12,000 units and 16,000 units. TEMPO COMPANY Flexible Budget Variable Amount Total Fixed per Unit Cost Flexible Budget for: Units Sales Unit Sales of of 12,000 16,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Question
Please do not give solution in image format thanku
Transcribed Image Text:Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Prepare a flexible budget at activity levels of 12,000 units and 16,000 units.
Variable costs
Fixed costs
Direct materials
Direct labor
Indirect materials.
Supervisor salary.
Exercise 8-3 (Algo) Preparing flexible budgets LO P1
Sales commissions
Shipping
Tempo Company's fixed budget (based on sales of 14,000 units) folllows.
Fixed Budget
Sales (14,000 units x $216 per unit)
Costs
Administrative salaries.
Depreciation Office equipment
Insurance
Office rent
Income
Required 3
Required 1
Required 2
TEMPO COMPANY
Compute total fixed costs.
Total fixed costs
Required 3
< Required 2
3,024,000
1. Compute total variable cost per unit.
2. Compute total fixed costs.
3. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units.
Flexible Budget
Variable Amount Total Fixed
per Unit
Cost
350,000
602,000
378,000
150,000
Complete this question by entering your answers in the tabs below.
126,000
224,000
200,000
170,000
140,000
150,000
534,000
< Required 1
0.00
Required 3 >
$
0
Flexible Budget for:
Units Sales Unit Sales of
of 12,000
16,000
$
Required 3 >
0
0 $
0
0
Transcribed Image Text:Exercise 8-3 (Algo) Preparing flexible budgets LO P1
Tempo Company's fixed budget (based on sales of 14,000 units) folllows.
Fixed Budget
Sales (14,000 units × $216 per unit)
Costs
Direct materials
Direct labor
Indirect materials.
Supervisor salary
Sales commissions
Shipping
Administrative salaries
Depreciation-Office equipment
Insurance
Office rent
Income
3,024,000
Required 1 Required 2 Required 3
350,000
602,000
Compute total variable cost per unit.
Total variable cost per unit
378,000
150,000
126,000
224,000
1. Compute total variable cost per unit.
2. Compute total fixed costs.
3. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units.
200,000
170,000
140,000
150,000
534,000
Complete this question by entering your answers in the tabs below.
< Required 1
Required 2
>
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education