Billie 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 wages Dept. manager salary Supplies used Depreciation-Equip. Utilities Building rent Office department costs Totals Budget Actual Campers Trailers Combined Campers Trailers Combined $ 195,380 $ 275,680 $ 479,999 $ 194,300 $ 274,600 $ 468,900 184,78e 206,480 311,100 106,800 286, 408 313, 2e0 44,100 53,1ee 97,200 43,800 53,600 97,400 33,689 91,80 124,680 31,700 92,200 123,980 62,880 125,5ee 187,500 63,800 126,500 189,500 4,600 6, 2ee 10,880 4,500 5,600 10, iee 5,780 9,280 14,980 5,800 8,900 14,700 72,750 72,75e 145,500 78,550 78,550 157, 100 $ 522,750 $ 839,750 $ 1,362,500 $ 528,450 $ 846,350 $ 1,374,800 The office department's annual budget and its actual costs follow. Plant manager salary Other office salaries Budget Actual $ 88,000 $ 101,080 32,500 25,380 25,000 30,800 $ 145,500 $ 157,180 Other office costs Totals Required: 1. Prepare responsibility accounting performance reports that list costs controlled by the following. a. Manager of the Camper department. b. Manager of the Trailer department. c. Manager of the Indiana plant. In each report, include the budgeted and actual costs and show the amount that each actual cost is over or under the budgeted amount. Complete this question by entering your answers in the tabs below. Reg 1A Req 1B Reg 10 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 Amount Actual Amount Over (Under) Budget Controllable Costs Totals $ 0 $ 0 $ 0
