Administrative salaries Depreciation Office equipment Income 573,450 192,000 $ 158,550 Required: 1&2. Prepare flexible budgets at sales volumes of 14,100 and 16,100 units. 3. The company's business conditions are improving. One possible result is a sales volume of 18,100 units. Prepare a simple budgeted income statement if 18,100 units are sold.
Administrative salaries Depreciation Office equipment Income 573,450 192,000 $ 158,550 Required: 1&2. Prepare flexible budgets at sales volumes of 14,100 and 16,100 units. 3. The company's business conditions are improving. One possible result is a sales volume of 18,100 units. Prepare a simple budgeted income statement if 18,100 units are sold.
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter22: Budgeting
Section: Chapter Questions
Problem 1PB: Forecast sales volume and sales budget Sentinel Systems Inc. prepared the following sales budget for...
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Answer both the requirements, answer in text form please (without image)
![Required information
[The following information applies to the questions displayed below]
Phoenix Company reports the following fixed budget. It is based on an expected production
and sales volume of 15,100 units.
Sales
Costs
Direct materials
Direct labor
Sales staff commissions
Depreciation Machinery
Supervisory salaries.
Shipping
Sales staff salaries (fixed annual amount)
Administrative salaries
Depreciation office equipment
Income
Req 1 and 2
PHOENIX COMPANY
Fixed Budget
For Year Ended December 31.
Required:
1&2. Prepare flexible budgets at sales volumes of 14,100 and 16,100 units.
3. The company's business conditions are improving. One possible result is a sales volume of 18,100 units.
Prepare a simple budgeted income statement if 18,100 units are sold.
Variable costs
Req 3
Fixed costs
$ 3,171,000
981,500
241,609
60,400
295,000
197,000
226,500
Prepare flexible budgets at sales volumes of 14,100 and 16,100 units.
245,000
573,450
192,000
$ 158,550
PHOENIX COMPANY
Flexible Budgets
For Year Ended December 31
Flexible Budget
0.00
Variable Amount Total Fixed
per Unit
Cost
$
Flexible Budget for:
Units Sales Unit Sales of
of 14,100 16,100
0 $
0
0 $
0
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F67cda5ce-729e-4b35-bea4-89a7d0b00d64%2Ff209e812-12d3-45ab-860d-4383436e8e2b%2Favtcem_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below]
Phoenix Company reports the following fixed budget. It is based on an expected production
and sales volume of 15,100 units.
Sales
Costs
Direct materials
Direct labor
Sales staff commissions
Depreciation Machinery
Supervisory salaries.
Shipping
Sales staff salaries (fixed annual amount)
Administrative salaries
Depreciation office equipment
Income
Req 1 and 2
PHOENIX COMPANY
Fixed Budget
For Year Ended December 31.
Required:
1&2. Prepare flexible budgets at sales volumes of 14,100 and 16,100 units.
3. The company's business conditions are improving. One possible result is a sales volume of 18,100 units.
Prepare a simple budgeted income statement if 18,100 units are sold.
Variable costs
Req 3
Fixed costs
$ 3,171,000
981,500
241,609
60,400
295,000
197,000
226,500
Prepare flexible budgets at sales volumes of 14,100 and 16,100 units.
245,000
573,450
192,000
$ 158,550
PHOENIX COMPANY
Flexible Budgets
For Year Ended December 31
Flexible Budget
0.00
Variable Amount Total Fixed
per Unit
Cost
$
Flexible Budget for:
Units Sales Unit Sales of
of 14,100 16,100
0 $
0
0 $
0
0
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