McCoy Industries has prepared the following, partially complete profit variance analysis: Required: Find the values of the missing items. Assume that actual sales volume equals actual production volume. (There are no inventory level changes.) Note: Do not round intermediate calculations. 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. Units Sales revenue Less Variable manufacturing costs Variable marketing and administrative costs Contribution margin Less Fixed manufacturing costs Reported Income Flexible Master Budget Statement (based on actual sales volume) Manufacturing Variance Marketing and Administrative Variance Budget (based on actual sales (based on budgeted Sales Price Variance volume) Sales Activity Variance sales volume) 71,400 71,400 11,900 F 59,500 $ 19,278 F $ 160,650 23,126 $ 9,639 U 2,142 F Fixed marketing and administrative costs Operating profits 19,278 102,816 85,680 25,704 4,284 U $ 64,260 $ 53,550 16,065 $ 19,278 F $ 21,420
McCoy Industries has prepared the following, partially complete profit variance analysis: Required: Find the values of the missing items. Assume that actual sales volume equals actual production volume. (There are no inventory level changes.) Note: Do not round intermediate calculations. 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. Units Sales revenue Less Variable manufacturing costs Variable marketing and administrative costs Contribution margin Less Fixed manufacturing costs Reported Income Flexible Master Budget Statement (based on actual sales volume) Manufacturing Variance Marketing and Administrative Variance Budget (based on actual sales (based on budgeted Sales Price Variance volume) Sales Activity Variance sales volume) 71,400 71,400 11,900 F 59,500 $ 19,278 F $ 160,650 23,126 $ 9,639 U 2,142 F Fixed marketing and administrative costs Operating profits 19,278 102,816 85,680 25,704 4,284 U $ 64,260 $ 53,550 16,065 $ 19,278 F $ 21,420
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:McCoy Industries has prepared the following, partially complete profit variance analysis:
Required:
Find the values of the missing items. Assume that actual sales volume equals actual production volume. (There are no inventory level
changes.)
Note: Do not round intermediate calculations. 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.
Units
Sales revenue
Less
Variable manufacturing costs
Variable marketing and administrative costs
Contribution margin
Less
Fixed manufacturing costs
Reported
Income
Flexible
Master
Budget
Statement
(based on
actual sales
volume)
Manufacturing
Variance
Marketing and
Administrative
Variance
Budget
(based on
actual sales
(based on
budgeted
Sales Price Variance
volume)
Sales Activity Variance
sales
volume)
71,400
71,400
11,900 F
59,500
$ 19,278 F
$
160,650
23,126
$
9,639 U
2,142 F
Fixed marketing and administrative costs
Operating profits
19,278
102,816
85,680
25,704
4,284 U
$
64,260
$
53,550
16,065
$
19,278 F
$
21,420
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