Answered step by step
Verified Expert Solution
Question
1 Approved Answer
amherst The Amherst Company produces engine parts for car manufacturers. A ruw accountant intern at Amherst has accidentally deleted the company's variance analysis calculations for
amherst
The Amherst Company produces engine parts for car manufacturers. A ruw accountant intern at Amherst has accidentally deleted the company's variance analysis calculations for the year ended December 31, 2020. The following table is what remains of the data (Click the icon to view the data) Read the resments Requirement 1. Calculate all the required variances Olt your work is accurate, you will find that the total static-budget vanance is 50.) Begin with the flexible budget Columns, then the sales volume variance column Label each variance as favorable () of unfavorable (U) (For variances with a 50 balance, make sure to enter in the appropriate field it the variance is zero, do not select a label Round your answers to the nearest whole dollar) Actual Flexible Budget Flexible Results Variance Budget Units sold 104 000 Rosales) 5 TE000 15 000 - - X a Data table Performance Report, Year Ended December 31, 2020 Actual Flexible-Budget Sales-Volume Results Variances Flexible Budget Variances 104.000 Static Budget 95,000 $ 323,000 199,500 Units sold Revenues (sales) Variable costs Contribution margin with $ 676,000 445.000 231,000 227,500 3,500 123,500 120.000 3.500 Fixed costs Operating income Print Done The Amherst Company produces engine parts for car marutacturers. A new accountant intern at Amherst has accidentally deleted the company's variance analysis calculations for the year ended December 31, 2020. The following table is what remains of the data Click the icon to view the data) Read the requirements rr Actual Results 104 000 Flexible-Budget Variance Flexible Budget S Units sold Revenues (sites) Variable costs Contribution margin 576.000 445.000 231.000 227 500 3500 Fixed costs Operating income - Requirements 1. Calculate all the required variances. (If your work is accurate, you will find that the total static-budget variance is $0.) 2. What are the actual and budgeted selling prices? What are the actual and budgeted variable costs per unit? 3. Review the variances you have calculated and discuss possible causes and potential problems. What is the important lesson learned here? Print Done Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started