Golden Inc. produces swimsuits. The following budgeted and actual amounts are for 2020: Cost Budget at 5,000 Units Actual 5,800 Units Direct materials $60,000 $71,000 Direct labor 75,000 86,500 Equipment depreciation 5,000 5,000 Indirect labor 7,500 8,600 Indirect materials 9,000 9,600 Rent and insurance 12,000 13,000 Instructions Prepare a consolidated actual vs. budget variance report for Golden Inc. for the year and answer the following question. What is the total budget variance? Indicate only the number
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- Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides estimates concerning the company's costs: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Administrative expenses Rent Actual cars washed. For example, electricity costs should be $1,300 per month plus $0.09 per car washed. The company expects to wash 8,000 cars August and to collect an average of $6.90 per car washed. The actual operating results for August are as follows: Lavage Rapide Income Statement For the Month Ended August 31 Revenue Expenses: Cleaning supplies Electricity Maintenance Wages and salaries Depreciation Rent Fixed Cost Cost per Car per Month Washed $ 1,300 $4,100 $ 8,000 $ 1,800 $ 1,700 Administrative expenses Total expense Net operating income 8,100 $ 57,300 $ 0.80 $ 0.09 $0.20 $ 0.30 6,900 1,990 1,840 6,860 8,000 2,000 1,840 29,430 $ 27,870 $ 0.03Bobs Consult, uses flexible budgeting for cost review purposes. The company’s master/static budget for the entire year includes $324,000 for fixed supervisory salaries for 180,000 client service hours. Supervisor salaries are expected to be incurred uniformly throughout the year (i.e., per the budget, each month is expected to have identical Supervisor salary expense). During the month of September, 15,750 client service hours were provided and supervisory salaries incurred were $28,000. A performance report for September would reflect a flexible budget variance related to supervisor salaries of: Choose one below: $350 Favorable $1,000 Favorable $0 $350 Unfavorable $1,000 UnfavorableThe Four Tops Company uses standard costing. During 2019, 12,000 pounds of Direct Material were purchased at an average cost of $5.20 per pound. Also during 2019, 10,500 pounds of Direct Material were used to produce 5,000 units. For 2019, the standards for Direct Material were 2 pounds per unit at $5.50 per pound. Compute the Direct Materials Price Variance for 2019. Multiple Choice $2,750 Favorable $2,750 Unfavorable $3,600 Unfavorable $3,600 Favorable
- The master budget at Monroe Manufacturing last period called for sales of 42,300 units at $45 each. The costs were estimated to be $29 variable per unit and $527,000 fixed. During the period, actual production and actual sales were 45,300 units. The selling price was $44 per unit. Variable costs were $31 per unit. Actual fixed costs were $518,000. Required: Prepare a profit variance analysis. Note: Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Monroe Manufacturing Profit Variance Analysis Actual Manufacturing Variances Sales Price Variance Flexible Budget Sales Activity Variance Master Budget Sales revenue Less: Variable costs Contribution margin $ 0 $ 0 $ 0 Less: Fixed costs Operating profits $ 0 $ 0 $ 0…Ivanhoe Manufacturing Co.'s static budget at 13,500 units of production includes $87,750 for direct labor and S20,250 for direct materials. Total fixed costs are $49,500. Determine the total costs on Ivanhoe's flexible budget for 2022 if 19,500 units are produced and sold. Total Cost Senter the total cost in dollarsMarla Baldwin was a blt anxlous as she created the year-end performance reports. She remembered how management had hoped the economy would make a favorable turn, taking pressure off consumers so they'd feel more comfortable spending on the company's splurge Item-a luxurious hooded cotton robe. Alas, actual production and sales ended at 5,100 units, a whopping 1,000 units shy of the company's original budget. The following Information presents the company's actual Income statement and other key Information for Marla. Sales Varlable costs: DM Actual Income DL Varlable-MOH Contribution margin Fixed costs: Fixed-MOH Fixed SG&A Operating Income Standards are as follows. Direct materials Direct labor Variable-MOH Fixed-MOH $800,700 Selling price Fixed SGSA expense 172,125 (for 11,475 yards purchased and used) 75,276 (for 3,672 hours used) 45,900 O Search 507,399 170,978 243,100 Standard Quantity per Unit 2.30 yards 0.70 DL hours $93.321 Additional master budget Information: 2.30 yards 2.30…
- The following information is available for Brownstone Products Company for the month of July: Master Budget Units Sales revenue Variable manufacturing costs Fixed manufacturing costs Variable selling and administrative expenses Fixed selling and administrative expenses Actual 3,900 $ 59,500 10,100 12,000 6,600 8,100 3,200 $ 60,000 16,000 13,200 8,000 9,300 Required: 1. What was the master budget variance for July? Was this variance favorable or unfavorable? 2. Compute the July sales volume variance and the flexible-budget variance for the month, both in terms of contribution margin and in terms of operating income. 4. Prepare pro-forma budgets for activities within its relevant range of operations. Prepare a flexible budget for each of the following two output levels: a. 3,780 units. b. 4,180 units. Complete this question by entering your answers in the tabs below. > Answer is complete but not entirely correct.ETT Golden Inc. produces men's ties. The following budgeted and actual amounts are for 2018: Cost Budget at 5,000 Units Actual Amounts at 5,800 Units Direct materials $60,000 $71,000 Direct labor 75,000 86,500 Equipment depreciation 5,000 5,000 Indirect labor 7,500 8,600 Indirect materials 9,000 9,600 Rent and insurance 12,000 13,000 Instructions Prepare a consolidated actual vs. budget variance report for Golden Inc. for the year and answer the following question. What are total actual costs?Required Information [The following information applies to the questions displayed below.] Phoenix Company's 2019 master budget Included the following fixed budget report. It is based on an expected production and sales volume of 15,000 units. Sales Cost of goods sold Direct materials Direct labor Gross profit Selling expenses Machinery repairs (variable cost) Depreciation-Plant equipment (straight-line) Utilities ($45,000 is variable) Plant management salaries Packaging Shipping PHOENIX COMPANY Fixed Budget Report For Year Ended December 31, 2019 Sales salary (fixed annual amount) General and administrative expenses Advertising expense Salaries Entertainment expense Income from operations Sales Variable costs Utilities PHOENIX COMPANY Flexible Budgets For Year Ended December 31, 2019 Flexible Budget Direct materials Direct labor Machinery repairs Depreciation-Plant equipment (straight-line) $ 960,000 240,000 Variable Amount per Unit 60,000 315,000 195,000 200,000 1,970,000 1,180,000…
- Ivanhoe, Inc. produces men's shirts. The following budgeted and actual amounts are for 2022: Cost Direct materials Direct labor Fixed overhead Budget at 2,650 units $66,250 71.550 39.050 Actual Amounts at 2,950 units $76,500 78,750 38,200Lewis Company reports the following foxed budget and actual results for May. Prepare a flexible budget performance report showing variances between budgeted and actual results. (Indicate the effect of the variance by selecting favorable, unfavorable, or no variance.) Sales (units produced and sold) Sales (in dollars) Variable costs Fixed costs For Month Ended May 31 Fixed Budget 1,380 $ 1,200 per unit $4809 per unit $152,000 LEWIS COMPANY Flexible Badget Performance Report Flexible Budget Actual Results Variances (1.500 units) (1,500 units) Actual Results 1,500 $ 1,961,000 $799,000 $ 140,000 Favorable/UnfavorableAaron's Chairs is in the process of preparing a production cost budget for August. Actual costs in July for 120 chairs were as follows. Materials cost = $4,680 Labor cost = $2,630 Rent = $1,500 Depreciation = $2,500 Other fixed costs = $3,200 Materials and labor are the only variable costs. If production and sales are budgeted to change to 130 chairs in August, how much is the expected total variable cost on the August budget?