Cullumber Company expects to produce 6,500 units of product IOA during the current year. Budgeted variable manufacturing costs per unit are direct materials $6, direct labour $13, and overhead $17. Monthly budgeted fixed manufacturing overhead costs are $7,800 for depreciation and $3,500 for supervision. In the current month, Cullumber produced 7,000 units and incurred the following costs: direct materials $39,312, direct labour $85,500, variable overhead $129,506, depreciation $7,800, and supervision $3,773. Prepare a static budget report. (List variable costs before fixed costs) Were costs controlled? Budget Cullumber Company Static Budget Report Actual Differe Favour Unfavou Neither Favourable

Q: Explain IO and PO Strips?

A: Interest only (IO) strips are a financial product shaped by unraveling the principal and interest…

Q: briefly explain what is meant by breakven points

A: Cost accounting is the part of accounting that helps in determining the total cost of production. It…

Q: Define NRV method.

A: Definition:   Product costs: The costs incurred to acquire the merchandise, ship the stock, prepare…

Q: answer is incorrect, pls recheck

A: Statement of Comprehensive Income: Comprehensive income is a measure of the changes in owners'…

Q: Explain rebalance

A: Rebalancing is the strategy for realigning portfolio weightings. Rebalancing incorporates buying or…

Q: How does the Representational faithfulness is enhanced if information is free from error?

A: Accounting:   Accounting is the process of recording the financial transaction of the organization…

Q: Define Double-entry system.

A: Double entry system: Double entry system is a way of accounting or bookkeeping which implies that…

Q: Identify the minimum cardinality of any REA diagram relationship. O or 1. O or N. 1 or N. None of…

A: Cardinality describes the nature of the relationship between two entities. It refers to the number…

Q: How can forwardrates be used for hedging purposes?

A: SOLUTION:- Risk management is the main stimulus for forward contracts. Forward contract is a…

Q: Define call protection

A: A financial instrument that does not affect the ownership of the common shareholders or management…

Q: Gadsen Company's quality cost report is to be based on the following data: Maintenance of test…

A: A quality cost report details the costs related to internal and external failures, prevention, and…

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.