CPA Company had the following results in June. Planned Actual Sales P160,000 P162,500 Variable Costs at P5 per unit Contribution Margin 100,000 60,000 102,500 60,000 Planned sales were 20,000 units; actual sales were 20,500 units. Compute for Revenue Variance- Favorable/(Unfavorable)
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- Munoz Company has provided the following Year 2 data. Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Variances Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Required $ 513,000 204,000 47,000 3,100 16,600 24,200 1,300 680 7,800 Unfavorable 4,800 Favorable 1,700 Unfavorable 1,500 Unfavorable 230 Favorable 390 Favorable 140 Unfavorable 110 Favorable Prepare a budgeted and actual Income statement for Internal use. MUNOZ COMPANY Internal Income Statement for Year 2 Sales Variable expenses: Product costs Selling expenses Other expenses Contribution margin Fixed expenses. Product costs Selling expenses Other expenses Operating income (loss) Interest expense Net income (loss) Budget ActualThe budgeted sales for a company for a period was: Units Units contribution margin Total contribution Product X 8 000 20 160 000 Product Y 7 000 12 84 000 Product Z 5 000 9 45 000 The actual Sales were: Units Units contribution margin Total contribution Product X 6000 20 120 000 Product Y 7 000 12 84 000 Product Z 9 000 9 81 000 Calculate the following: i) Total sales margin variance ii) Sales volume variance iii) Sales margin mix varianHighlight T Strikethrough Calculator A company sells two products and has calculated the following information relating to sales variances: Sales mix variance = $1,000 Sales price variance = $200F Sales volume variance = $1,400A There is no indication as to whether the sales mix variance is adverse or favourable but it was caused by a lower proportion of the more profitable item being sold. What is the sales quantity variance? $200 Adverse $400 Adverse $2,400 Adverse $400 Favourable
- Assume that the cost formula for one of a company's variable expenses is $5.00 per unit. The company's planned level of activity was 2,000 units and its actual level of activity was 2,200 units. The actual amount of this expense was $10,800. The spending variance for this expense is Multiple Choice $1,000 F $800 $200 F $1,000 UProblem 17-55 (Algo) Derive Amounts for Profit Variance Analysis (LO 17-6) Classics, Ltd., details cars. Classics wants to compare this quarter's results with those for last quarter, which is belleved to be typical for operations. Assume that the following information is provided. Last Quarter 510 $87,210 28,620 This Quarter 663 $70, 200 34,020 Number of detailings Revenues Variable costs Contribution margini $58,590 $36, 180 Required: a. Compute the flexible budget and sales activity varlance and prepare a profit varlance analysis. (Hint Use last quarter as the master budget and this quarter as "actual.") b. What impact did the changes in number of detallings and average revenues (L.e., sales price) have on Classics, Ltd.s contributlon margin? Complete this questlon by entering your answers In the tabs below. Required A Required B Compute the flexible budget and sales activity variance and prepare a profit variance analysis. (Hint: Use last quarter as the master budget and this q…Culver World provided the following data concerning its costs of operating and the number of riders of its Scream ride and the related linear regression for selected operation months: Riders Operating costs January $2.40 $1.84 $1.94 O $2.05 2900 $8640 February March April 2800 $8510 2300 2210 May 2500 $7490 $6984 $7910 Using the high-low method, what is the unit variable cost for the Scream ride? June 2700 $8580
- help meS TB MC Qu. 16-41 (Algo) James Manufacturing had the following... James Manufacturing had the following information available for July: Actual Results 13,300 Units Sales revenue Less: Variable manufacturing costs Variable marketing and administrative Contribution margin What was James's flexible budget contribution margin for July? ere to search Multiple Choice $52,600 $50 750 O $ 90,750 ? $ 52,600 ? Sales Activity Variance 3,350 U ? $ 4,150 F $ 6,150 U Master Budget ? ? $ 123,900 $30,300 ? 37°F Cloudy ^-4Contribution margin analysis focuses on explaining the differences between planned and actual contribution margins, considering the quantity factor and the unit price factor. After reviewing the data on the Contribution Margin Data panel, complete the following contribution margin analysis. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Saxon, Inc. Contribution Margin Analysis For the Year Ended December 31 1 Planned contribution margin 2 Effect of changes in sales: 3 Sales quantity factor 4 Unit price factor 5 Total effect of changes in sales 6 Effect of changes in variable cost of goods sold: 7 Variable cost quantity factor 8 Unit cost factor 9 Total effect of changes in variable cost of goods sold 10 Effect of changes in selling and administrative expenses: 11 Variable…
- Harlow Parts produces a single product at its Superior Plant. The master budget for July follows: Harlow Parts Superior Plant Master Budget (For July) Quantity Revenue Variable manufacturing cost Variable Selling, General and Administrative cost Contribution margin Fixed manufacturing cost Fixed Selling, General and Administrative cost Operating profit The following operating income statement shows the actual results for July: Quantity (units) Revenue Harlow Parts Superior Plant Operating Results (For July) Variable manufacturing cost Variable Selling, General and Administrative cost Contribution margin 8,220 $ 1,561,800 591,840 98,640 $ 871,320 214,000 372,000 $ 285,320 Fixed manufacturing cost Fixed Selling, General and Administrative cost Operating profit 9,620 $ 1,765,800 788,394 111, 240 $ 866,166 225,040 382,000 $ 259, 126TB MC Qu. 16-80 (Static) The net effect of AR-10's sales volume variance on profit: Duo, Incorporated Duo, Incorporated, carries two products and has the following year-end income statement (000s omitted) Product ZR-7 Units Sales $ Variable costs Product AR-10 Multiple Choice Budget 2,000 $ 6,000 2,400 1,800 $4,200 $ 1,800 Actual 2,800 $ 7,560 2,800 1,900 $4,700 $ 2,860 Fixed Costs Total Costs Operating income The net effect of AR-10's sales volume variance on profit is: Budget 6,000 $ 12,000 6,000 2,400 $ 8,400 $ 3,600 Actual 5,600 $ 11,760 5,880 2,400 $ 8,280 $ 3,480Contribution Margin Analysis The actual variable cost of goods sold for a product was $30 per unit, per unit, while the planned variable cost of goods sold was $35 per unit. The volume decreased by 4,400 units to 55,200 actual total units. Enter all amounts as positive numbers. a. Determine variable cost quantity factor. b. Determine the unit cost factor for variable cost of goods sold. s
