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A Company produces engine parts for car manufacturers. A new accountant intern at this company has accidentally deleted the calculations on the company's variance analysis
A Company produces engine parts for car manufacturers. A new accountant intern at this company has accidentally deleted the calculations on the company's variance analysis calculations for the year ended December 31, 2017. The following table is what remains of the data.
Please show all work and how you got each answer. Thank you.
Data Table Performance Report Year Ended December 31, 2017 Flexible-Budget Flexible Variances Budget Actual Results 108,000 Sales-Volume Variances Static Budget 98,000 Units sold Revenues (sales) Variable costs Contribution margin Fixed costs 702,000 480,000 352,800 220,500 222,000 194,700 132,300 105,000 $ 27,300 27,300 Operating income Print Done Requirement 1. Calculate all the required variances. (If your work is accurate, you will find that the total static-budget variance is $0.) Begin with the flexible budget columns, then the sales volume variance column. Label each variance as favorable (F) or unfavorable (U). (For variances with a $0 balance, make sure to enter "0" in the appropriate field. If the variance is zero, do not select a label. Round your answers to the nearest whole dollar.) Actual Flexible Flexible-Budget Variance Results Budget Units sold 108,000 Revenues (sales) $ 702,000 480,000 Variable costs Contribution margin 222,000 194,700 Fixed costs $ 27,300 Operating incomeStep by Step Solution
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