Lincoln Corporation used the following data to evaluate their current operating system. The company sells items for $17 each and used a budgeted selling price of $17 per unit. Actual Budgeted Units sold 47,000 units 33,000 units Variable costs $170,000 $150,000 Fixed costs $42,000 $51,000 What is the static - budget variance of variable costs? O A. $20,000 unfavorable B. $11,000 unfavorable OC. $14,000 favorable OD. $9,000 favorable

Lincoln Corporation used the following data to evaluate their current operating system. The company sells items for $17 each and used a budgeted selling price of $17 per unit. Actual Budgeted Units sold 47,000 units 33,000 units Variable costs $170,000 $150,000 Fixed costs $42,000 $51,000 What is the static - budget variance of variable costs? O A. $20,000 unfavorable B. $11,000 unfavorable OC. $14,000 favorable OD. $9,000 favorable

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Bulldogs Inc. wants to analyze the variances in its actual and budgeted gross profit. The following are available:· Actual gross profit and actual gross profit ratio is P600,000 and 25%, respectively.· The actual sales are P400,000 more than the total budgeted sales.· Budgeted sales price at actual quantity sold is P2,000,000What is the Sales Volume Variance under 4-way analysis?
Coroid Corporation used the following data to evaluate their current operating system. The company sells items for $12 each and had used a budgeted selling price of S13 per unit. Budgeted Actual 290,000 unite 270,000 units Units sold $980.000 $63,000 $886,000 $47,000 Vanable cost Fined costs What is the static-budget variance of variable costs? $94,000 favorable $110,000 unfavorable $110,000 favorable $94,000 unfavorable
Abel Company manufactures a single product. Budgeted data are as follows: Production /sales 12,000 units Variable costs per unit P 7.20 Fixed costs P 9,600 Current assets 60% of sales Fixed assets P 48,000 The company wants to earn 20% return on investment (Assets), What should be the selling price per unit?a. 8.00b. 10.00c. 12.00d. 12.50
Hh1.
asper Co has the following budget and actual figures for 20X4. Details Budget Actual Sales units 600 620 Selling price per unit $30 $29 Standard full cost of production = $28 per unit. Required: Calculate the selling price variance and the sales volume profit variance.
Using the above table and below additional information, calculate direct labor cost price variance and quantity variance. Additional information for DL: • Direct labor efficiency standard . Actual amount of direct labor hours Actual cost of direct labor 0.24 DLHr per batch of crayons 10,400 DLHr $145,600 a. Price variance is 650 unfavorable, and quantity variance is 22,480 unfavorable. b. Price variance is 20,800 unfavorable, and quantity variance is 24,960 favorable. c. Price variance is 20,800 favorable, and quantity variance is 24,960 favorable. O d. Price variance is 650 favorable, and quantity variance is 22,480 unfavorable.
Alpesh
A company's flexible budget for 9,000 units of production showed per unit contribution margin of $4.80 and fixed costs, $20,000. The income expected If the company produces and sells 14,000 units is: Multiple Choice $47,200. $3.000. $67,200. $23.200. $20.000. A company's flexible budget for 13,300 units of production showed sales, $43,890; variable costs, $15,960; and fixed costs, $15,400, The income expected if the company produces and sells 17,300 units is: Multiple Choice $3,333. $12,530. $25,500. $20,930. $26,313.
Sagar
Schriever Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Revenue Employee salaries and wages Servicing materials Other expenses Multiple Choice The planning budget for May was based on 36 wells serviced, but a total of 31 wells were actually serviced in May. The activity variance for total expenses for May would have been closest to: о о о $10,500 F $8,500 F $10,500 U Fixed element per Variable Element per month Well Serviced $ 4,500 $ 1,100 $ 600 $8,500 U $ 57,200 $ 31,000
Komatsu company’s budget for sales was 1,000 of small size tractor for $1,200 per the tractor. The company’s actual sales was $1,365,000, sales units for 1,300 bikes. What are the Sales Price Variance and Sales Activity Variance? And show in graph.
Lincoln Corporation used the following data to evaluate their current operating system. The company sells items for $12 each and used a budgeted selling price of $12 per unit. Actual Budgeted Units sold 42,000 units 36,000 units Variable costs $168,000 $151,000 $58,000 Fixed costs $45,000 What is the static-budget variance of revenues? O A. $72,000 unfavorable OB. $6,000 unfavorable O C. $72,000 favorable O D. $4,000 favorable O Time Re esc