During September, Clendennen Corporation budgeted for 39,000 customers, but actually served 37,000 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served: Revenue: $4.52q Wages and salaries: $ 36,400+ $1.85q Supplies: $0.75q Insurance: $ 13,400 Miscellaneous expense: $6,400 + $0.25q Required: Prepare the company's flexible budget for September based on the actual level of activity for the month.

During September, Clendennen Corporation budgeted for 39,000 customers, but actually served 37,000 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served: Revenue: $4.52q Wages and salaries: $ 36,400+ $1.85q Supplies: $0.75q Insurance: $ 13,400 Miscellaneous expense: $6,400 + $0.25q Required: Prepare the company's flexible budget for September based on the actual level of activity for the month.

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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