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A company reports the following fixed budget based on expected production and sales of 2,000 units. Fixed Budget For Year Ended December 31 Sales (2,000
A company reports the following fixed budget based on expected production and sales of 2,000 units.
| Fixed Budget | |
|---|---|
| For Year Ended December 31 | |
| Sales (2,000 units) | $ 912,000 |
| Costs | |
| Direct materials | 174,000 |
| Direct labor | 168,000 |
| DepreciationMachinery | 201,000 |
| Supervisory salaries | 121,000 |
| Shipping | 52,000 |
| Administrative salaries | 71,000 |
| Income | $ 125,000 |
This company's actual results for sales of 2,300 units follow.
| Sales (2,300 units) | $ 966,900 |
|---|---|
| Costs | |
| Direct materials | $ 197,200 |
| Direct labor | 183,400 |
| DepreciationMachinery | 201,000 |
| Supervisory salaries | 106,040 |
| Shipping | 64,120 |
| Administrative salaries | 73,040 |
| Income | $ 142,100 |
Prepare a flexible budget performance report for the year ended December 31.
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