Tempo Company's fixed budget (based on sales of 10,000 units) folllows. Fixed Budget Sales (10,000 units × $200 per unit) Costs Direct materials Direct labor Indirect materials Supervisor salary Sales commissions Shipping Administrative salaries Depreciation-Office equipment Insurance Office rent Income 2,000,000 250,000 430,000 260,000 50,000 70,000 150,000 100,000 70,000 40,000 50,000 530,000 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute total variable cost per unit. Total variable cost per unit Required 1 Required 2 >
Tempo Company's fixed budget (based on sales of 10,000 units) folllows. Fixed Budget Sales (10,000 units × $200 per unit) Costs Direct materials Direct labor Indirect materials Supervisor salary Sales commissions Shipping Administrative salaries Depreciation-Office equipment Insurance Office rent Income 2,000,000 250,000 430,000 260,000 50,000 70,000 150,000 100,000 70,000 40,000 50,000 530,000 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute total variable cost per unit. Total variable cost per unit Required 1 Required 2 >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Tempo Company's fixed budget (based on sales of 10,000 units) folllows.
Fixed Budget
Sales (10,000 units × $200 per unit)
Costs
Direct materials
Direct labor
Indirect materials
Supervisor salary
Sales commissions
Shipping
Administrative
salaries
Depreciation-Office equipment
Insurance
Office rent
Income
2,000,000
250,000
430,000
260,000
50,000
70,000
150,000
100,000
70,000
40,000
50,000
530,000
1. Compute total variable cost per unit.
2. Compute total fixed costs.
3. Prepare a flexible budget at activity levels of 8,000 units and 12,000 units.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
Compute total variable cost per unit.
Total variable cost per unit
Required 1
Required 2 >
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