Lenci Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During May. the company budgeted for 5,160 units, but Iits actual level of activity was 5.110 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for May. Data used in budgeting: Fixed variable element element per unit $40.20 per month Revenue $ 6.10 16.30 1.90 Direct labor Direct materials Manufacturing overhead Selling and administrative expenses 42,100 23,300 $65,400 e.se Total expenses $25.10 Actual results for May. Revenue $198,410 $ 29,165 $ se, 865 $ 50,905 $ 23,280 Direct labor Direct materials Manufacturing overhead Selling and administrative expenses

Lenci Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During May. the company budgeted for 5,160 units, but Iits actual level of activity was 5.110 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for May. Data used in budgeting: Fixed variable element element per unit $40.20 per month Revenue $ 6.10 16.30 1.90 Direct labor Direct materials Manufacturing overhead Selling and administrative expenses 42,100 23,300 $65,400 e.se Total expenses $25.10 Actual results for May. Revenue $198,410 $ 29,165 $ se, 865 $ 50,905 $ 23,280 Direct labor Direct materials Manufacturing overhead Selling and administrative expenses

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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