Partially completed budget performance reports for Garland Company, a manufacturer of light duty motors, follow: Garland Company Budget Performance Report—Vice President, Production For the Month Ended November 30 Plant Actual Budget Over Budget Under Budget Eastern Region $553,800 $553,800 $0 Central Region 398,700 394,700 $4,000 Western Region (g) (h) (i) $(j) $(k) $(l) $2,700 Garland Company Budget Performance Report—Manager, Western Region Plant For the Month Ended November 30 Department Actual Budget Over Budget Under Budget Chip Fabrication $(a) $(b) $(c) Electronic Assembly 68,450 69,340 890 Final Assembly 109,520 108,640 $880 $(d) $(e) $(f) $3,580 Garland Company Budget Performance Report—Supervisor, Chip Fabrication For the Month Ended November 30 Cost Actual Budget Over Budget Under Budget Factory wages $26,430 $28,280 $1,850 Materials 75,850 75,320 $530 Power and light 3,610 4,300 690 Maintenance 7,190 7,870 680 $113,080 $115,770 $530 $3,220 a. Complete the budget performance reports by determining the correct amounts for the lettered spaces (a-l) as marked above. a. g. b. h. c. i. d. j. e. k. f. l. b. The budget for the Chip Fabrication Department indicates that the budget overrun was caused by a combination of ? in factory wages, power and light, and maintenance that exceeded a ? in materials.
Partially completed budget performance reports for Garland Company, a manufacturer of light duty motors, follow: Garland Company Budget Performance Report—Vice President, Production For the Month Ended November 30 Plant Actual Budget Over Budget Under Budget Eastern Region $553,800 $553,800 $0 Central Region 398,700 394,700 $4,000 Western Region (g) (h) (i) $(j) $(k) $(l) $2,700 Garland Company Budget Performance Report—Manager, Western Region Plant For the Month Ended November 30 Department Actual Budget Over Budget Under Budget Chip Fabrication $(a) $(b) $(c) Electronic Assembly 68,450 69,340 890 Final Assembly 109,520 108,640 $880 $(d) $(e) $(f) $3,580 Garland Company Budget Performance Report—Supervisor, Chip Fabrication For the Month Ended November 30 Cost Actual Budget Over Budget Under Budget Factory wages $26,430 $28,280 $1,850 Materials 75,850 75,320 $530 Power and light 3,610 4,300 690 Maintenance 7,190 7,870 680 $113,080 $115,770 $530 $3,220 a. Complete the budget performance reports by determining the correct amounts for the lettered spaces (a-l) as marked above. a. g. b. h. c. i. d. j. e. k. f. l. b. The budget for the Chip Fabrication Department indicates that the budget overrun was caused by a combination of ? in factory wages, power and light, and maintenance that exceeded a ? in materials.
Chapter1: Financial Statements And Business Decisions
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The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.
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Budget Performance Reports for Cost Centers
Partially completed budget performance reports for Garland Company, a manufacturer of light duty motors, follow:
| Garland Company Budget Performance Report—Vice President, Production For the Month Ended November 30 |
||||||||
| Plant | Actual | Budget | Over Budget | Under Budget | ||||
| Eastern Region | $553,800 | $553,800 | $0 | |||||
| Central Region | 398,700 | 394,700 | $4,000 | |||||
| Western Region | (g) | (h) | (i) | |||||
| $(j) | $(k) | $(l) | $2,700 |
| Garland Company Budget Performance Report—Manager, Western Region Plant For the Month Ended November 30 |
||||||||
| Department | Actual | Budget | Over Budget | Under Budget | ||||
| Chip Fabrication | $(a) | $(b) | $(c) | |||||
| Electronic Assembly | 68,450 | 69,340 | 890 | |||||
| Final Assembly | 109,520 | 108,640 | $880 | |||||
| $(d) | $(e) | $(f) | $3,580 |
| Garland Company Budget Performance Report—Supervisor, Chip Fabrication For the Month Ended November 30 |
||||||||
| Cost | Actual | Budget | Over Budget | Under Budget | ||||
| Factory wages | $26,430 | $28,280 | $1,850 | |||||
| Materials | 75,850 | 75,320 | $530 | |||||
| Power and light | 3,610 | 4,300 | 690 | |||||
| Maintenance | 7,190 | 7,870 | 680 | |||||
| $113,080 | $115,770 | $530 | $3,220 |
a. Complete the budget performance reports by determining the correct amounts for the lettered spaces (a-l) as marked above.
| a. | g. |
| b. | h. |
| c. | i. |
| d. | j. |
| e. | k. |
| f. | l. |
b. The budget for the Chip Fabrication Department indicates that the budget overrun was caused by a combination of ? in factory wages, power and light, and maintenance that exceeded a ? in materials.
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