Benson Company has provided the following Year 2 data. Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Variances Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense BENSON COMPANY Internal Income Statement for Year 2 Budget Required Prepare a budgeted and actual Income statement for Internal use. Sales Variable expenses: Product costs Selling expenses Other expenses Contribution margin $ 504,000 186,000 46,000 3,300 16,500 23,400 1,900 700 Fixed expenses: Product costs Selling expenses Other expenses Operating income (loss) Interest expense Net income (loss) 8,600 Unfavorable 4,200 Favorable 2,300 Unfavorable 1,700 Unfavorable 310 Favorable 490 Favorable 190 Unfavorable 90 Favorable Actual

Benson Company has provided the following Year 2 data. Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Variances Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense BENSON COMPANY Internal Income Statement for Year 2 Budget Required Prepare a budgeted and actual Income statement for Internal use. Sales Variable expenses: Product costs Selling expenses Other expenses Contribution margin $ 504,000 186,000 46,000 3,300 16,500 23,400 1,900 700 Fixed expenses: Product costs Selling expenses Other expenses Operating income (loss) Interest expense Net income (loss) 8,600 Unfavorable 4,200 Favorable 2,300 Unfavorable 1,700 Unfavorable 310 Favorable 490 Favorable 190 Unfavorable 90 Favorable Actual

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

The CVP income statement shown below are available for ABC Company and DEF Company. ABC Company. DEF Company. Sales revenue Php 600,000 Php 600,000 Variable cost 320,000 120,000 Contribution margin 280,000 480,000 Fixed cost 180,000 380,000 Net income Php 100,000 Php 100,000 Assuming that sales revenue is increases by 10 percent, calculate the net income of DEF Company, assuming that sales revenue is increases by 10 percent, find out the net income of ABC Company.
Subject : Accounting
Complete each of the following contribution format income statements by supplying the missing numbers. a. b. c. d. Sales revenue $enter the sales revenue amount in dollars $504,696 $enter the sales revenue amount in dollars $671,472 Variable expenses 236,284 enter the variable expenses amount in dollars 123,704 enter the variable expenses amount in dollars Contribution margin 150,052 156,624 enter the contribution margin in dollars 490,336 Fixed expenses enter the fixed expenses amount in dollars 87,320 138,084 enter the fixed expenses amount in dollars Operating income 20,502 enter the operating income amount in dollars enter the operating income amount in dollars enter the operating income amount in dollars Income taxes enter the income tax amount in dollars 20,791 20,278 63,805 Net income $14,351 $enter the net income amount in dollars $60,834 $191,415
hornton Company has provided the following for the year. Budget Sales Variable product costs Variable selling expense Other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense Váriances Sales Variable product costs Variable selling expense other variable expenses Fixed product costs Fixed selling expense Other fixed expenses Interest expense $514, eee 201,000 46,00e 3,100 16,100 24,100 1,900 700 8,400 U 4,600 F 1,900 U 2,000 U 230 F 410 170 U 11e F Required a. Prepare in good form a budgeted and actual income statement for Internal use. Separate operating income from net income in the statements and indicate whether each variance is favorable (F) or unfavorable (U) (Select "None" if there is no effect (i.e., zer variance).)
by its June contribution format income statement below: Sales (4,000 pools) Variable expenses: Variable cost of goods sold* Variable selling expenses Total variable expenses Contribution margin Fixed expenses: Manufacturing overhead Selling and administrative Total fixed expenses Net operating income (loss) Flexible Budget $ 275,000 Actual $ 275,000 74,720 90,040 27,000 27,000 101,720 117,040 173,280 157,960 68,000 68,000 93,000 93,000 161,000 161,000 $ 12,280 $ (3,040) *Contains direct materials, direct labor, and variable manufacturing overhead. Janet Dunn, who has just been appointed general manager of the Westwood Plant, has been given instructions to "get things under control." Upon reviewing the plant's income statement, Ms. Dunn has concluded that the major problem lies in the variable cost of goods sold. She has been provided with the following standard cost per swimming pool: Direct materials Direct labor Variable manufacturing overhead Total standard cost per unit Standard…
Absorption Costing Income Statement On October 31, the end of the first month of operations Maryville Equipment Company prepared the following income statement, based on the variable costing conce Maryville Equipment Company Variable Costing Income Statement For the Month Ended October 31 Sales (8,700 units) Variable cost of goods sold: Variable cost of goods manufactured Inventory, October 31 (2,600 units) Total variable cost of goods sold Manufacturing margin Variable selling and administrative expenses Contribution margin Fixed costs: Fixed manufacturing costs Fixed selling and administrative expenses Total fixed costs Operating income Company Absorption Costing Income Statement For the Month Ended October 31 $293,800 (67,600) Cost of goods sold: $56,500 34,800 $556,800 Prepare an income statement under absorption costing Round all final answers to whole dollars. Maryville Equipment (226,200) $330,600 (147,900) $182,700 (91,300) $91,400
Need help with these two problems. Thanks!
The following data have been extracted from the budgets and standard costs of FAA Limited, a company which manufactures and sells a single product. GHS per unit Selling price 65.00 Direct materials cost 15.00 Direct labour cost 6.00 Variable overhead cost 3.50 Fixed production overhead costs are budgeted at GHS500,000 per annum. Normal production levels are thought to be 400,000 units per annum. Budgeted selling and distribution costs are as follows. Variable GHS 2.50 per unit sold Fixeed GHS 90,000 per annum Budgeted administration costs are GHS180,000 per annum. The following trends of sales and production are expected during the first six months of 2020. 1st Quarter 2nd Quarter Sales (units) 80,000 100,000 Production (units) 90,000 120,000 There is no inventory on 1st January 2020.…
Prepare Income statement for the month of December 2020 assuming absorption Costing and Variable Costing and state the reason for difference in income computed between absorption costing and variable costing.
Gadubhai
Contribution Margin Ratio a. Young Company budgets sales of $1,240,000, fixed costs of $41,900, and variable costs of $186,000. What is the contribution margin ratio for Young Company? % b. If the contribution margin ratio for Martinez Company is 62%, sales were $567,000, and fixed costs were $274,200, what was the operating income?
Use the following information for Short Exercises S21-4 and S21-5. Dracut Company reports the following information for June: Calculating gross profit and operating income, absorption costing Calculate the gross profit and operating income for June using absorption costing.