Wade Company estimates that it will produce 7,000 units of product IOA during the current month. Budgeted variable manufacturing costs per unit are direct materials $5, direct labor $12, and overhead $17. Monthly budgeted fixed manufacturing overhead costs are $7,500 for depreciation and $3,900 for supervision. In the current month, Wade actually produced 7,500 units and incurred the following costs: direct materials $32,095, direct labor $82,300, variable overhead $127,806, depreciation $7,500, and supervision $4,173. Prepare a static budget report. Hint: The Budget column is based on estimated production while the Actual column is the actual cost incurred during the period. (List variable costs before fixed costs.)
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Wade Company estimates that it will produce 7,000 units of product IOA during the current month. Budgeted variable
In the current month, Wade actually produced 7,500 units and incurred the following costs: direct materials $32,095, direct labor $82,300, variable overhead $127,806, depreciation $7,500, and supervision $4,173.
Prepare a static budget report. Hint: The Budget column is based on estimated production while the Actual column is the actual cost incurred during the period. (List variable costs before fixed costs.)
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Wade Company
Static Budget Report |
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Unfavorable Neither Favorable nor Unfavorable |
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Select an opening static budget report item
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Enter a number
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Select an opening name for section one
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Select a static budget report item
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$Enter a dollar amount
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$Enter a dollar amount
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$Enter a difference
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Select a static budget report item
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Enter a dollar amount
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Enter a dollar amount
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Enter a difference
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Select an option
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Select a static budget report item
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Enter a dollar amount
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Enter a dollar amount
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Enter a difference
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Select an option
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Select a closing name for section one
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Enter a total amount for section one
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Enter a total amount for section one
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Enter a difference
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Select an opening name for section two
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Select a static budget report item
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Enter a dollar amount
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Enter a dollar amount
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Enter a difference |
Select an option
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Select a static budget report item
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Enter a dollar amount
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Enter a dollar amount
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Enter a difference
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Select an option
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Select a closing name for section two
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Enter a total amount for section two
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Enter a total amount for section two
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Enter a difference
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Select an option
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Select a closing static budget report item
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$Enter a total dollar amount
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$Enter a total dollar amount
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$Enter a difference
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Select an option
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Were costs controlled? Select an option
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