Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,400 units. Sales Costs Direct materials Direct labor 223 Sales staff commissions Depreciation Machinery Supervisory salaries Shipping Sales staff salaries (fixed annual amount) Administrative salaries Depreciation Office equipment Income Req 1 and 2 PHOENIX COMPANY Fixed Budget For Year Ended December 31 Required: 1&2. Prepare flexible budgets at sales volumes of 14,400 and 16,400 units. 3. The company's business conditions are improving. One possible result is a sales volume of 18,400 units. Prepare a simple budgeted income statement if 18,400 units are sold. Sales Variable costs Complete this question by entering your answers in the tabs below. Req 3 Prepare flexible budgets at sales volumes of 14,400 and 16,400 units. PHOENIX COMPANY Flexible Budgets For Year Ended December 31 Flexible Budget Direct materials Direct labor Sales staff commissions Depreciation Machinery Supervisory salaries Gross profit Fored costs $ 3, 234, 608 1,081, 808 231, 608 61, 608 385, 608 198, 608 231, 808 255, 008 595,708 194,608 $ 161,708 0.00 Variable Amount Total Fixed per Unit Cost Flexible Budget for: Units Sales Unit Sales of of 14,400 16,400 D ol
Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,400 units. Sales Costs Direct materials Direct labor 223 Sales staff commissions Depreciation Machinery Supervisory salaries Shipping Sales staff salaries (fixed annual amount) Administrative salaries Depreciation Office equipment Income Req 1 and 2 PHOENIX COMPANY Fixed Budget For Year Ended December 31 Required: 1&2. Prepare flexible budgets at sales volumes of 14,400 and 16,400 units. 3. The company's business conditions are improving. One possible result is a sales volume of 18,400 units. Prepare a simple budgeted income statement if 18,400 units are sold. Sales Variable costs Complete this question by entering your answers in the tabs below. Req 3 Prepare flexible budgets at sales volumes of 14,400 and 16,400 units. PHOENIX COMPANY Flexible Budgets For Year Ended December 31 Flexible Budget Direct materials Direct labor Sales staff commissions Depreciation Machinery Supervisory salaries Gross profit Fored costs $ 3, 234, 608 1,081, 808 231, 608 61, 608 385, 608 198, 608 231, 808 255, 008 595,708 194,608 $ 161,708 0.00 Variable Amount Total Fixed per Unit Cost Flexible Budget for: Units Sales Unit Sales of of 14,400 16,400 D ol
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Question
1
Transcribed Image Text:Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,400
units.
Sales
Costs
Direct materials
Direct labor
Sales staff commissions
Dans
Depreciation Machinery
Supervisory salaries
Shipping
Sales staff salaries (fixed annual amount)
Administrative salaries
Depreciation Office equipment
Incant
PHOENIX COMPANY
Fixed Budget
For Year Ended December 31
Required:
1&2. Prepare flexible budgets at sales volumes of 14,400 and 16,400 units.
3. The company's business conditions are improving. One possible result is a sales volume of 18,400 units. Prepare a simple budgeted
income statement if 18,400 units are sold.
Req 1 and 2
Complete this question by entering your answers in the tabs below.
Req 3
Sales
Variable costs
Direct materials
Direct labor
Sales staff commissions
Depreciation Machinery
Supervisory salaries
Gross profit
Prepare flexible budgets at sales volumes of 14,400 and 16,400 units.
PHOENIX COMPANY
Flexible Budgets
Fixed costs
$ 3, 234, 608
1,081, 008
231, 808
61, 608
385, 008
198, 808
231, 808
255, 808
595, 708
194, 808
$ 161, 708
For Year Ended December 31
Flexible Budget
Variable Amount Total Fixed
per Unit
Cost
0.00
$
Flexible Budget for:
Units Sales Unit Sales of
of 14,400
16,400
0 $
D
D$
D
D
Transcribed Image Text:Complete this question by entering your answers in the tabs below.
Req 1 and 2
Req 3
The company's business conditions are improving. One possible result is a sales volume of 18,400 units. Prepare a simple
budgeted income statement if 18,400 units are sold.
PHOENIX COMPANY
Budgeted Income Statement
For Year Ended December 31
Sales (in units)
S
18,400
0
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