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. Budget Actual Trailers Campers 472,200 $194,500 $273 ,000 Trailers Combined Campers $195,800 $276,400 $ Combined Raw materials 467,500 313,800 Employee wages Dept. manager salary Supplies used Depreciation-Equip. Utilities 105,250 205,600 52,100 310,850 95,300 123,800 107,400 44,200 31,700 63,000 4,200 206,400 43,200 33,200 60,500 54,100 98,300 123,600 189,000 9,800 90,600 126,500 5,800 91,900 187,000 126,000 5,600 4,200 10,000 Building rent Office department costs 71,750 145,100 143,500 72,550 71,750 72,550 $519,900 $ 838,450 $1,358,350 $ 523,650 $ 838,750 $1,362,400 Totals The office department's annual budget and its actual costs follow. Budget $ 87,000 Actual $ 96,000 Plant manager salary Other office salaries 36,500 25,000 24,100 Other office costs 20,000 $143,500 $145,100 Totals Required: . Prepare responsibility accounting performance reports that list costs controlled by the following. In each report, include the budgeted and actual costs and show the amount that each actual cost is over or under the budgeted amount. a. Manager of the camper department. b. Manager of the trailer department. c. Manager of the Indiana plant. Prepare responsibility accounting performance reports that list costs controlled by the following. In each report, include the budgeted and actual costs and show the amount that each actual cost is over or minus sign.) under the budgeted amount for manager of the camper department. (Under budget amounts should be indicated by a Responsibility Accounting Performance Report Dept. Manager, Camper Department For the Year Over (Under) Budget Budgeted Amount Actual Amount Controllable Costs Totals Prepare responsibility accounting performance reports that list costs controlled by the following. 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 Over (Under) Budget Actual Budgeted Amount Amount Controllable Costs Totals Prepare responsibility accounting performance reports that list costs controlled by the following. 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 Over (Under) Budget Actual Amount Controllable Costs Totals
