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Prepare a profit variance analysis. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If the option. Enter your final answers as a whole number) Sales revenue Variable costs Manufacturing Marketing and administrative Contribution margin Fixed costs Manufacturing Marketing and administrative Operating profit $ $ $ Actual 903,760 218.080 38,900 646,780 406,640 103,800 136.340 Manufacturing Varlances BENTLER ASSOCIATES Profit Variance Analysis Marketing and Administrative Variances Sales Price Variance Flexible Budget Sales Activity Variance Master Budget

Prepare a profit variance analysis. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If the option. Enter your final answers as a whole number) Sales revenue Variable costs Manufacturing Marketing and administrative Contribution margin Fixed costs Manufacturing Marketing and administrative Operating profit $ $ $ Actual 903,760 218.080 38,900 646,780 406,640 103,800 136.340 Manufacturing Varlances BENTLER ASSOCIATES Profit Variance Analysis Marketing and Administrative Variances Sales Price Variance Flexible Budget Sales Activity Variance Master Budget

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Prepare a profit variance analysis. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If the option. Enter your final answers as a whole number.) Sales revenue Variable costs: Manufacturing Marketing and administrative Contribution margin Foxed costs: Manufacturing Marketing and administrative Operating profit $ $ Actual 903,760 218,080 38,900 646,780 406,640 103,800 $ 136.340 Manufacturing Variances BENTLER ASSOCIATES Profit Variance Analysis Marketing and Administrative Variances $ Sales Price Variance Flexible Budget Sales Activity Variance Master Budget
Transcribed Image Text:Prepare a profit variance analysis. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If the option. Enter your final answers as a whole number.) Sales revenue Variable costs: Manufacturing Marketing and administrative Contribution margin Foxed costs: Manufacturing Marketing and administrative Operating profit $ $ Actual 903,760 218,080 38,900 646,780 406,640 103,800 $ 136.340 Manufacturing Variances BENTLER ASSOCIATES Profit Variance Analysis Marketing and Administrative Variances $ Sales Price Variance Flexible Budget Sales Activity Variance Master Budget
The following are the actual results for Bentler Associates for the most recent period: 69,520 units Sales volume Sales revenue Variable costs Manufacturing Marketing and administrative Contribution margin Fixed costs Manufacturing Marketing and administrative. Operating profit $ 903,760 Required: a. Construct the master budget for the period. b. Prepare a profit variance analysis. 218,080 38,900 $ 646,780 406,640 103,800 $ 136,340 The company planned to produce and sell 79,000 units for $12.50 each. At that volume, the contribution margin would have been $704,000. Variable marketing and administrative costs are budgeted at 5 percent of sales revenue. Manufacturing fixed costs are estimated at $5 per unit at the budgeted volume of 79,000 units. Management notes, "We budget an operating profit of $2.50 per unit at the budgeted volume."
Transcribed Image Text:The following are the actual results for Bentler Associates for the most recent period: 69,520 units Sales volume Sales revenue Variable costs Manufacturing Marketing and administrative Contribution margin Fixed costs Manufacturing Marketing and administrative. Operating profit $ 903,760 Required: a. Construct the master budget for the period. b. Prepare a profit variance analysis. 218,080 38,900 $ 646,780 406,640 103,800 $ 136,340 The company planned to produce and sell 79,000 units for $12.50 each. At that volume, the contribution margin would have been $704,000. Variable marketing and administrative costs are budgeted at 5 percent of sales revenue. Manufacturing fixed costs are estimated at $5 per unit at the budgeted volume of 79,000 units. Management notes, "We budget an operating profit of $2.50 per unit at the budgeted volume."
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