Top managers of Juda Industries predicted 2024 sales of 15,100 units of its product at a unit price of $7.00. Actual sales for the year were 14,100 units at $12.50 each. Variable costs were budgeted at $2.20 per unit, and actual variable costs were $2.30 per unit. Actual fixed costs of $43,000 exceeded budgeted fixed costs by $5,200. Prepare Juda's flexible budget performance report. What variance contributed most to the year's favorable results? What caused this variance? Show Transcribed Text
Top managers of Juda Industries predicted 2024 sales of 15,100 units of its product at a unit price of $7.00. Actual sales for the year were 14,100 units at $12.50 each. Variable costs were budgeted at $2.20 per unit, and actual variable costs were $2.30 per unit. Actual fixed costs of $43,000 exceeded budgeted fixed costs by $5,200. Prepare Juda's flexible budget performance report. What variance contributed most to the year's favorable results? What caused this variance? Show Transcribed Text
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please answer completely and correctly with explanation computation formula steps answer in text no copy paste show explanation and computation clearly for numbers provide full working for all steps with explanation
![Top managers of Juda Industries predicted 2024 sales of 15,100 units of its product at a unit price of
$7.00. Actual sales for the year were 14,100 units at $12.50 each. Variable costs were budgeted at
$2.20 per unit, and actual variable costs were $2.30 per unit. Actual fixed costs of $43,000 exceeded
budgeted fixed costs by $5,200.
Prepare Juda's flexible budget performance report. What variance contributed most to the year's
favorable results? What caused this variance?
Show Transcribed Text
Prepare a flexible budget performance report for the year. First, complete the flexible budget performance report through the contribution
margin line, then complete the report through the operating income line. Finally, compute the total variances. (Enter a "0" for any zero balances.
For any $0 variances, leave the Favorable (F)/Unfavorable (U) input blank.)
Juda Industries
Flexible Budget Performance Report
For the Year Ended December 31, 2024](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F96c3fa8a-2d55-4155-912c-543527caa76e%2Fb30e45e6-52f4-46fe-8af8-721b4b0accff%2Fjk97oneb_processed.png&w=3840&q=75)
Transcribed Image Text:Top managers of Juda Industries predicted 2024 sales of 15,100 units of its product at a unit price of
$7.00. Actual sales for the year were 14,100 units at $12.50 each. Variable costs were budgeted at
$2.20 per unit, and actual variable costs were $2.30 per unit. Actual fixed costs of $43,000 exceeded
budgeted fixed costs by $5,200.
Prepare Juda's flexible budget performance report. What variance contributed most to the year's
favorable results? What caused this variance?
Show Transcribed Text
Prepare a flexible budget performance report for the year. First, complete the flexible budget performance report through the contribution
margin line, then complete the report through the operating income line. Finally, compute the total variances. (Enter a "0" for any zero balances.
For any $0 variances, leave the Favorable (F)/Unfavorable (U) input blank.)
Juda Industries
Flexible Budget Performance Report
For the Year Ended December 31, 2024
![Units
Sales Revenue
Variable Costs
Contribution Margin
Budget
Amounts
Per Unit
For the Year Ended December 31, 2024
1
3
Actual
Results
2
(1)-(3)
Flexible
Budget
Variance
Flexible
Budget
(3) - (5)
Sales
Volume
Variance
5
Static
Budget](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F96c3fa8a-2d55-4155-912c-543527caa76e%2Fb30e45e6-52f4-46fe-8af8-721b4b0accff%2Fqes5ka_processed.png&w=3840&q=75)
Transcribed Image Text:Units
Sales Revenue
Variable Costs
Contribution Margin
Budget
Amounts
Per Unit
For the Year Ended December 31, 2024
1
3
Actual
Results
2
(1)-(3)
Flexible
Budget
Variance
Flexible
Budget
(3) - (5)
Sales
Volume
Variance
5
Static
Budget
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