Bille Whitehorse, the plant manager of Travel Free's Indiana plant is responsible for all of that plant's costs other than her own salary The plant has two operating departments and one service department. The camper and trailer operating departments manufacture different products and have their own managers. The office department, which Whitehorse also manages, provides services equally to the two operating departments. A budget is prepared for each operating department and the office department. The company's responsibility accounting system must assemble information to present budgeted and actual costs in performance reports for each operating department manager and the plant manager. Each performance report includes only those costs that a particular operating department manager can control raw materials, wages, supplies used, and equipment depreciation. The plant manager is responsible for the department managers' salaries, utilities, building rent office salaries other than her own, and other office costs plus all costs controlled by the two operating department managers. The annual departmental budgets and actual costs for the two operating departments follow Raw materials Employee wees Dept. manager salary Supplies used Depreciation Equip Utilities Building rent Office department costs Totals Hudget Actual Campers Trailer Combined Coopers Trailers Combined $195,500 $275,600 $ 471,100 $ 194,600 $ 273,400 $ 468,000 104,150 206,000 310,150 107.000 206,600 31,600 43,800 52, 300 96,100 44,600 53,800 98,480 34,600 91,800 126,400 31,400 91,600 123,000 62,000 126,500 188,500 63,000 126,500 189,500 4,860 5,400 10.200 4,200 4,700 8,900 5,400 9,300 14,700 5.900 8,600 14,500 66,750 66,250 133,500 70,550 70,550 141, 100 $ 517,000 $833,650 $1,358,650 $ 521,250 $835,750 $1,357.000 The office department's annual budget and its actual costs follow. Plant manager salary Other office salaries Other office costs Totals Budget Actual $ 79,000 $102, een 40,500 26,400 14,000 12,700 $ 133,500 $141,100 Prepare responsibility accounting performance reports that list controllable costs. In each report, include the budgeted and actual costs and show the amount that each actual cost is over or under the budgeted amount for manager of the Camper department. (Under budget amounts should be indicated by a minus sign.) Responsibility Accounting Performance Report Dept. Manager, Camper Department For the Year Budgeted Actual Over (Under) Amount Amount Budget Controllable costs Totals $ 0 $ 0 $ Prepare responsibility accounting performance reports that list controllable costs. In each report, include the budgeted and actual costs and show the amount that each actual cost is over or under the budgeted amount for manager of the Trailer department. (Under budget amounts should be indicated by a minus sign.) Responsibility Accounting Performance Report Dept. Manager, Trailer Department For the Year Budgeted Actual Over (Under) Amount Amount Budget Controllable Costs Totals S 0 $ 0 S D Prepare responsibility accounting performance reports that list controllable costs. In each report, include the budgeted and actual costs and show the amount that each actual cost is over or under the budgeted amount for manager of the Indiana plant. (Under budget amounts should be indicated by a minus sign.) Responsibility Accounting Performance Report Plant Manager Indiana Plant For the Year Budgeted Actual Ovet (Under Amount Amount Budget Controllable Costs Totals $ OS 0 $ 0
