Tempo Company's fixed budget (based on sales of 16,000 units) folllows. Fixed Budget Sales (16,000 units x $207 per unit) Costs Direct materials Direct labor Indirect materials 3,312,000 384,000 688,000 416,000 Supervisor salary 184,000 Sales commissions 112,000 Shipping 256,000 Administrative salaries 234,000 Depreciation-Office equipment 204,000 Insurance 174,000 Office rent 184,000 Income 476,000 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 14,000 units and 18,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute total variable cost per unit. Total variable cost per unit

Tempo Company's fixed budget (based on sales of 16,000 units) folllows. Fixed Budget Sales (16,000 units x $207 per unit) Costs Direct materials Direct labor Indirect materials 3,312,000 384,000 688,000 416,000 Supervisor salary 184,000 Sales commissions 112,000 Shipping 256,000 Administrative salaries 234,000 Depreciation-Office equipment 204,000 Insurance 174,000 Office rent 184,000 Income 476,000 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 14,000 units and 18,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute total variable cost per unit. Total variable cost per unit

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 4E: Prepare a cost of goods sold budget for the Crest Hills Manufacturing Co. for the year ended...

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Prepare a cost of goods sold budget for the Crest Hills Manufacturing Co. for the year ended December 31, 2016, from the following estimates. Inventories of production units: Direct materials purchased during the year, 854,000; beginning inventory of direct materials, 31,000; and ending inventory of direct materials, 26,000. Totals from other budgets included:
Vishal empo Company's fixed budget (based on sales of 14,000 units) folllows.Fixed BudgetSales (14,000 units × $207 per unit)2,898,000Costs Direct materials336,000Direct labor602,000Indirect materials364,000Supervisor salary136,000Sales commissions112,000Shipping210,000Administrative salaries186,000Depreciation—Office equipment156,000Insurance126,000Office rent136,000Income534,000 1. Compute total variable cost per unit.2. Compute total fixed costs.3. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units. TEMPO COMPANY Flexible BudgetFlexible Budget for: Variable Amount per UnitTotal Fixed CostUnits Sales of 12,000Unit Sales of 16,000Sales Variable costs Direct materials Direct labor Indirect materials Sales commissions Shipping Total variable costs0.00 00Contribution margin Fixed costs Supervisor salary Administration salaries…
The following is the budgeted information of 3Z Company for the year 2021: Service Departments Producing Departments S1 S2 P1 P2 Budgeted overhead before distribution of service costs Direct labor hours Machine hours Number of employees Area occupied (sq ft) P300,000.00 P 150,000.00 P1,500,000.00 P750,000.00 6,000 45,400 25 30,000 33,250 5,000 150 50,000 13 8 4,200 1,500 Actual prime cost for the last quarter Of 2021 in the production of 15,000 units of Product MM is summarized below: P1 P2 11,250 hrs Direct labor hours 1,200 DLh @ P35 6,550 DLH @ P35 Machine hours 1,250 hrs Materials P75 per unit P5 per unit Additional information: • The company computes predetermined overhead rates based on machine hours in P1 and direct labor hours in P2, after distributing service costs using direct method. Sl costs are distributed based on area occupied and S2 costs are based on number of employees. Required: Compute for the total production costs of Product MM.
A company's fixed budget (based on 8,000 units) follows. Compute total fixed costs. Fixed Budget Sales (8,000 × $730 per unit) Costs Direct materials Direct labor Indirect materials Supervisory salary Sales commissions Shipping Administrative salaries Depreciation - Office equipment Insurance Office rent Income Multiple Choice O O O $752,000. $618,000. $1,076,000. $ 5,840,000 584,000 968,000 354,000 134,000 284,000 312,000 424,000 74,000 44,000 76,000 $ 2,586,000
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Tempo Company's fixed budget (based on sales of 12,000 units) folllows. Fixed Budget Sales (12,000 units x $203 per unit) Costs Direct materials Direct labor Indirect materials Supervisor salary Sales commissions Shipping Administrative salaries Depreciation-Office equipment Insurance Office rent Income 2,436,000 276,000 516,000 324,000 76,000 84,000 192,000 126,000 96,000 66,000 76,000 604,000 S 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 10,000 units and 14,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a flexible budget at activity levels of 10,000 units and 14,000 units. TEMPO COMPANY Flexible Budget Variable Amount per Unit Total Fixed Cost Flexible Budget for: Units Sales Unit Sales of of 10,000 14,000
Budgeted information for X Ltd for the following period, analyzed by product, is shown below:                                                                            Product A              Product B                  Product C Selling price per unit                                            $11                          $10.5                             $8 Variable costs per unit                                            $5.8                          $6                                $5.2 Attributable fixed costs                                           $275000               $337000                        $296000 Sales Units for Product A 394600, for Product B 591900 and for product C 315680, General fixed costs, which are apportioned to products as a percentage sale are budgeted at $1668000. Required: (1) Calculate the budgeted profit of X Ltd, and each of its products. (2) Recalculate the budgeted profit of X Ltd. On the assumption that product C is discontinued, with no effect…
Budgeted information for X Ltd for the following period, analyzed by product, is shown below:                                                                            Product A              Product B                  Product C Selling price per unit                                            $11                          $10.5                             $8 Variable costs per unit                                            $5.8                          $6                                $5.2 Attributable fixed costs                                           $275000               $337000                        $296000 Sales Units for Product A 394600, for Product B 591900 and for product C 315680, General fixed costs, which are apportioned to products as a percentage sale are budgeted at $1668000. Required: (1) Calculate the budgeted profit of X Ltd, and each of its products. (2) Recalculate the budgeted profit of X Ltd. On the assumption that product C is discontinued, with no effect…
Relevant data from Picta Company’s operating budgets are presented below. The company’s financial year ends on 30 June.                Quarter 1Quarter 2Sales$248,470$251,539Direct material purchases120,295128,832Direct labor76,55374,289Manufacturing overhead26,00024,400Selling and administration expenses33,50033,500Depreciation included in selling and administration expenses 2,000 2,500   Collection from customers230,524220,116Cash payments for purchases114,345118,346 Additional data:Equipment was sold in July for $8,000 and $4,500 in November. Dividends of $5,500 were paid in August. The beginning cash balance was $80,395 and a required minimum cash balance per quarter is $60,000. The company has a 15% open line of credit for $70 000 with their bank. Required: a) Use this information to prepare a cash budget for the first two quarters of the year. bi) Briefly comment on Picta Company’s expected cashflow position in the first two quarters of the year.