Question
Benson Company has provided the following for the year. Budget Sales $514,000 Variable product costs 189,000 Variable selling expense 43,000 Other variable expenses 2,600
Benson Company has provided the following for the year. Budget Sales $514,000 Variable product costs 189,000 Variable selling expense 43,000 Other variable expenses 2,600 Fixed product costs 15,600 Fixed selling expense 23,400 Other fixed expenses 2,000 Interest expense 720 Variances Sales 8,000 U Variable product costs 4,600 F Variable selling expense 1,900 U Other variable expenses 1,400 U Fixed product costs 240 F Fixed selling expense Other fixed expenses Interest expense 460 F 180 U 90 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).) BENSON COMPANY Internal Income Statement
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