Prepare a flexible budget report for Ivanhoe Clothing for the year.
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Ivanhoe Clothing produces men’s athletic socks. The following budgeted and actual amounts are for 2022:
|
Cost
|
Budget at 6,500 Units
|
Actual Amounts at 7,300 Units
|
|||||||
|---|---|---|---|---|---|---|---|---|---|
|
Direct materials
|
$78,000 | $89,360 | |||||||
|
Direct labor
|
97,500 | 108,870 | |||||||
|
Equipment
|
6,500 | 6,500 | |||||||
|
Indirect labor
|
9,750 | 10,820 | |||||||
|
Indirect materials
|
11,700 | 12,080 | |||||||
|
Rent and insurance
|
13,500 | 14,650 |
Prepare a flexible budget report for Ivanhoe Clothing for the year.
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- Kipp Industries has the following production budget for 2022: 2022 Quarter 1 3,000 Units 2022 Quarter 2 8,000 Units 2022 Quarter 3 5,000 Units 2022 Quarter 4 6,000 Units 2023 Quarter 1 5,000 Units Each unit requires 2.5 hours of direct labor and workers are paid $20 per hour. Prepare a Direct Labor Budget for each of the quarters of 2022. (No need to show the total for the year).Business Solutions's second-quarter 2022 fixed budget performance report for its computer furniture operations follows. The $171,170 budgeted expenses include $114,000 in variable expenses for desks and $19,170 in variable expenses for chairs, as well as $38,000 of fixed expenses. Actual fixed expenses total $39,600. Desk sales (in units) Chair sales (in units) Desk sales Chair sales Total expenses Income Fixed Budget 152 71 For Quarter Ended June 30 Desk sales Chair sales Variable expenses Contribution margin Actual Results 158 79 Variances. $ 199,120 41,890 $ 205,400 47,795 179,780 $ 6,280 F 5,905 F 8,610 U 171,170 $ 69,840 $ 73,415 $ 3,575 F Required: Prepare a flexible budget performance report that shows variances between budgeted results and actual results. (Indicate the effect of each varlance by selecting favorable, unfavorable, or no variance.) BUSINESS SOLUTIONS Flexible Budget Performance Report Flexible Budget Actual Results ENGDomino Consulting, budgeted overhead and other expenses as follows for the year ended December 31, 2023: Overhead: Rent $ 25,000 Repairs 10,000 Fuel 35,000 Maintenance 15,750 Supplies 6,100 Heat and light 20,250 Depreciation-computer 9,400 Miscellaneous 6,000 Depreciation-building 18,000 Depreciation-equipment…
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