Corp used the following data for the year. Its actual and budgeted selling price is$18 per unit.Actual Static Budgetunits sold 41,000 units. 40,000variable costs $164,000. $156,000fixed costs $46,000 $48,000If Corp had known ahead of time (when making its static budget for the year) that itwould actually sell41,000 units, what would it have budgeted/estimated its operating income to be?In other words, what isthe flexible budget amount for operating income?

The objective of the question is to calculate the flexible budget amount for operating income if…

Answered: Corp used the following data for the…

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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A company’s flexible budget for 19,000 units of production showed sales, $87,400; variable costs, $43,700; and fixed costs, $24,000. The variable costs expected if the company produces and sells 24,000 units is?
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None
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