Olive Company makes silver belt buckles. The company's master budget appears in the first column of the table. Required: Complete the table by preparing Olive's flexible budget for 4,7o0, 6,700, and 7,700 units. (Round your intermediate calculations to 2 decimal places.) Master Budget Flexible Budget Flexible Budget Flexible Budget (6,700 Units) (7,700 Units) (5,700 Units) (4,700 Units) Direct materials 570 Direct labor 2,280 1,140 Variable manufacturing overhead Fixed manufacturing overhead 17,200 Total manufacturing cost 21,190

Olive Company makes silver belt buckles. The company's master budget appears in the first column of the table. Required: Complete the table by preparing Olive's flexible budget for 4,7o0, 6,700, and 7,700 units. (Round your intermediate calculations to 2 decimal places.) Master Budget Flexible Budget Flexible Budget Flexible Budget (6,700 Units) (7,700 Units) (5,700 Units) (4,700 Units) Direct materials 570 Direct labor 2,280 1,140 Variable manufacturing overhead Fixed manufacturing overhead 17,200 Total manufacturing cost 21,190

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 15EB: Judges Gavel uses this information when preparing their flexible budget: direct materials of $3 per...

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Olive Company makes silver belt buckles. The company's master budget appears in the first column of the table. Required: Complete the table by preparing Olive's flexible budget for 5,300, 7,300, and 8,300 units. Note: Round your intermediate calculations to 2 decimal places. Master Budget Flexible Budget Flexible Budget Flexible Budget (7,300 Units) (8,300 Units) (6,300 Units) (5,300 Units) Direct materials $ 1,890 Direct labor 2,520 Variable manufacturing overhead 2,520 Fixed manufacturing overhead 17,300 Total manufacturing cost $ 24,230
Olive Company makes silver belt buckles. The company's master budget appears in the first column of the table. Required: Complete the table by preparing Olive's flexible budget for 5,400, 7,400, and 8,400 units. (Round your intermediate calculations to 2 decimal places.) Master Budget Flexible Budget Flexible Budget (5,400 Units) Flexible Budget (8,400 Units) (6,400 Units) (7,400 Units) Direct materials $ 640 Direct labor 3,200 Variable manufacturing overhead 1,280 Fixed manufacturing overhead 17,000 Total manufacturing cost $ 22,120
Barlow Company manufactures book bags and has provided the following information for June 2018: E (Click the icon to view the information.) Requirements 1. Prepare a flexible budget performance report. (Hint: You will need to calculate the flexible budget amounts for 10,000 units.) 2. As the company owner, which employees would you praise or criticize after you analyze this performance report? Requirement 1. Prepare a flexible budget performance report. (Hint. You will need to calculate the flexible budget amounts for 10,000 units.) (Enter a "0" for any zero balances. For any $0 variances, leave the Favorable (F)/Unfavorable (U) input blank. Enter all amounts as positive values.) Barlow Company Flexible Budget Performance Report For the Month Ended June 30, 2018 - X 1 Data Table (1) - (3) (3) - (5) Budget Flexible Sales Static Budget 11,000 Amounts Actual Budget Flexible Volume Static Actual Results Units 10,000 Per Unit Results Variance Budget Variance Budget Sales Revenue $ 174,000 $…
Olive Company makes silver belt buckles. The company's master budget appears in the first column of the table. Required: Complete the table by preparing Olive's flexible budget for 4,300, 6,300, and 7,300 units. Note: Round your intermediate calculations to 2 decimal places. Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Total manufacturing cost Master Budget Flexible Budget (5,300 Units) (4,300 Units) 530 2,650 1,060 18,300 22,540 $ Flexible Budget (6,300 Units) Flexible Budget (7,300 Units)
Barlow Company manufactures book bags and has provided the following information for June 2018: E (Click the icon to view the information.) Requirements 1. Prepare a flexible budget performance report. (Hint: You will need to calculate the flexible budget amounts for 10,000 units.) 2. As the company owner, which employees would you praise or criticize after you analyze this performance report? Requirement 1. Prepare a flexible budget performance report. (Hint. You will need to calculate the flexible budget amounts for 10,000 units.) (Enter a "0" for any zero balances. For any $0 variances, leave the Favorable (F)/Unfavorable (U) input blank. Enter all amounts as positive values.) Barlow Company Flexible Budget Performance Report For the Month Ended June 30, 2018 1 2 3 4 - X Data Table (1) - (3) (3) - (5) Budget Flexible Sales Amounts Actual Budget Flexible Volume Static Static Budget Actual Results Per Unit Results Variance Budget Variance Budget Units 10,000 11,000 Units Sales Revenue…
Olive Company makes silver belt buckles. The company's master budget appears in the first column of the table. Required: Complete the table by preparing Olive's flexible budget for 5,700, 7,700, and 8,700 units. Note: Round your intermediate calculations to 2 decimal places. Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Total manufacturing cost Master Budget Flexible Budget (6,700 Units) (5,700 Units) $ 2,010 3,350 2,680 18,800 26,840 $ Flexible Budget (7,700 Units) Flexible Buget (8,700 Units)
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Howard Cooper, the president of Finch Computer Services, needs your help. He wonders about the potential effects on the firm's net income if he changes the service rate that the firm charges its customers. The following basic data pertain to fiscal Year 1: Standard rate and variable costs Service rate per hour Labor cost Overhead cost Selling, general, and administrative cost. Expected fixed costs Facility maintenance Selling, general, and administrative Required: a. Prepare the pro forma income statement that would appear in the master budget if the firm expects to provide 28,000 hours of services in Year 1. b. A marketing consultant suggests to Mr. Cooper that the service rate may affect the number of service hours that the firm can achieve. According to the consultant's analysis, if Finch charges customers $57 per hour, the firm can achieve 31,000 hours of services. Prepare a flexible budget using the consultant's assumption. c. The same consultant also suggests that if the firm…
2. Prepare a cost of goods sold budget for Play-Disc for the year. 3. What if the beginning inventory of finished goods was $80,900 (for 17,000 units)? How would that affect the cost of goods sold budget? (Assume Play-Disc uses the FIFO method.)
Gig Harbor Boating is the wholesale distributor of a small recreational catamaran sailboat. Management has prepared the following summary data to use in its annual budgeting process: Budgeted unit sales Selling price per unit Cost per unit Variable selling and administrative expense (per unit) Fixed selling and administrative expense (per year) Interest expense for the year Required: Prepare the company's budgeted income statement for the year. Gig Harbor Boating Budgeted Income Statement Check my work
Magnify Corporation manufactures and sells two types of decorative lamps, Knox and Ayer. The following data are available for the year 2020. (Click the icon to view the information.) Calculate (1) the cost of goods sold budget (label it Schedule 7) (2) the operating (nonmanufacturing) costs budget (label it Schedule 8) and (3) the operating income budget for the year ending December 31, 2020. (1). Begin by calculating (1) the cost of goods sold budget (label it Schedule 7) for the year ending December 31, 2020. Schedule 7: Cost of Goods Sold Budget for the Year Ending December 31, 2020 Beginning finished goods inventory, January 1, 2020 Direct materials used Direct manufacturing labor Manufacturing overhead Cost of goods manufactured Cost of goods available for sale Deduct ending finished goods inventory, December 31, 2020 Cost of goods sold Business Function 356,000 72,200 146,400 Marketing Distribution Administration costs (2). Calculate the operating (nonmanufacturing) costs budget…
Smith Recliners manufactures leather recliners and uses flexible budgeting and a standard cost system. Smith allocates overhead based on yards of dired (Click the icon to view the selected data.) Read the requirements. Requirement 1. Prepare a flexible budget based on the actual number of recliners sold. (Round budget amounts per unit to the nearest cent.) Smith Recliners Flexible Budget Actual Units (Recliners) Sales Revenue Variable Manufacturing Costs: Direct Materials Direct Labor Variable Overhead Fixed Manufacturing Costs: Fixed Overhead Total Cost of Goods Sold Gross Profit Budget Amounts per Unit Direct materials cost variance W Direct labor cost variance = Direct materials efficiency variance Direct labor efficiency variance . Formula = Variance Formula Data table Sales Variance Variable Manufacturing Costs: Direct Materials (6,150 yds @ $8.60/yd.) (6,300 yds @ $8.40/yd.) (10,250 DLHr@ $11.20/DLHr) (9,850 DLHr@ $11.30/DLHr) Variable Overhead (6,150 yds. @ $5.10/yd.) (6,300…