Using Flexible Budgets The following summary data are from a performance report for Hyland Company for May, during which 9,600 units were produced. The budget reflects the company's normal capacity of 10,000 unit Direct material Direct labor Variable overhead Fixed overhead Total a. Prepare Actual Cost Budget 9,600 10,000 units units $ Type $102,600 $105,000 $(2,400) Favorable 207,900 210,000 (2,100) Favorable 73,800 72,000 1,800 Unfavorable 54,300 54,000 300 Unfavorable $438,600 $441,000 $(2,400) Favorable new performance report using flexible budgeting. Round all amounts to the nearest dollar. Variance Direct material $ Direct labor Variable overhead Fixed overhead Totals $ Actual Costs Variances 0 $ 0 0 0 0 $ Flexible Budget 0 $ 0 0 0 0 $ $ 0 0 0 0 0 Type b. Which of the two performance reports should Hyland Company management use to measure the company's operating efficiency in May? + ◆ ◆ 수
Using Flexible Budgets The following summary data are from a performance report for Hyland Company for May, during which 9,600 units were produced. The budget reflects the company's normal capacity of 10,000 unit Direct material Direct labor Variable overhead Fixed overhead Total a. Prepare Actual Cost Budget 9,600 10,000 units units $ Type $102,600 $105,000 $(2,400) Favorable 207,900 210,000 (2,100) Favorable 73,800 72,000 1,800 Unfavorable 54,300 54,000 300 Unfavorable $438,600 $441,000 $(2,400) Favorable new performance report using flexible budgeting. Round all amounts to the nearest dollar. Variance Direct material $ Direct labor Variable overhead Fixed overhead Totals $ Actual Costs Variances 0 $ 0 0 0 0 $ Flexible Budget 0 $ 0 0 0 0 $ $ 0 0 0 0 0 Type b. Which of the two performance reports should Hyland Company management use to measure the company's operating efficiency in May? + ◆ ◆ 수
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![Using Flexible Budgets
The following summary data are from a performance report for Hyland Company for May, during which 9,600 units were produced. The budget reflects the company's normal capacity of 10,000 units.
Actual Cost Budget
9,600
10,000
units
units
Type
$102,600 $105,000 $(2,400) Favorable
207,900 210,000 (2,100) Favorable
73,800 72,000 1,800 Unfavorable
54,300 54,000 300 Unfavorable
$438,600 $441,000 $(2,400) Favorable
Direct material
Direct labor
Variable overhead
Fixed overhead
Total
a. Prepare a new performance report using flexible budgeting. Round all amounts to the nearest dollar.
Variance
Direct material $
Direct labor
Variable overhead
Fixed overhead
Totals
$
Actual
Costs
Variances
0 $
0
0
0
0 $
Flexible
Budget
0 $
0
0
0
0 $
0
0
0
0
0
Type
b. Which of the two performance reports should Hyland Company management use to measure
the company's operating efficiency in May?
4
◄►](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fab95af0c-8761-45ad-a409-00b969071184%2F99d75faf-abf1-4c1a-864d-4aebcead7743%2F86ykd9r_processed.png&w=3840&q=75)
Transcribed Image Text:Using Flexible Budgets
The following summary data are from a performance report for Hyland Company for May, during which 9,600 units were produced. The budget reflects the company's normal capacity of 10,000 units.
Actual Cost Budget
9,600
10,000
units
units
Type
$102,600 $105,000 $(2,400) Favorable
207,900 210,000 (2,100) Favorable
73,800 72,000 1,800 Unfavorable
54,300 54,000 300 Unfavorable
$438,600 $441,000 $(2,400) Favorable
Direct material
Direct labor
Variable overhead
Fixed overhead
Total
a. Prepare a new performance report using flexible budgeting. Round all amounts to the nearest dollar.
Variance
Direct material $
Direct labor
Variable overhead
Fixed overhead
Totals
$
Actual
Costs
Variances
0 $
0
0
0
0 $
Flexible
Budget
0 $
0
0
0
0 $
0
0
0
0
0
Type
b. Which of the two performance reports should Hyland Company management use to measure
the company's operating efficiency in May?
4
◄►
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