GHI Company has the following planning budget for the month of September: Budgeted units of output (q) = 100 Revenue ($400q) 40,000 Expenses: Wages and Salaries ($8,000 +$125q) 20, 500 Supplies ($3q ) 300 Equipment rental ($1,800+ $32q) 5,000 Insurance ($3,400) 3,400 Total Expenses 29, 200 Net income $10,800 Required: Prepare a flexible budget for September, assuming the actual units of output were 120.
GHI Company has the following planning budget for the month of September: Budgeted units of output (q) = 100 Revenue ($400q) 40,000 Expenses: Wages and Salaries ($8,000 +$125q) 20, 500 Supplies ($3q ) 300 Equipment rental ($1,800+ $32q) 5,000 Insurance ($3,400) 3,400 Total Expenses 29, 200 Net income $10,800 Required: Prepare a flexible budget for September, assuming the actual units of output were 120.
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter22: Budgeting
Section: Chapter Questions
Problem 2E: Digital Solutions Inc. uses flexible budgets that are based on the following data: Prepare a...
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