When me in Walston Corporation prepared its budget for 2020, it estimated fixed overhead of $430,000 ($40,000 per month) and variable overhead at $2.00 per unit produced. The company planned to produce 48.000 units during the year at a rate of 4,000 units each month. During April, the company produced 3,700 units and total overhead costs were $55.000. How much is the overhead volume variance for April? $2.250 unfavorable O $3,000 unfavorable O $3.250 unfavorable O $1.350 unfavorable O $2,700 unfavorable
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.
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