Burton Company produces top hats. They are trying to maximize profits. Here is their relevant information:

Selling price per hat:$50 each

Labor costs per hat:$15

Material costs per hat:$10

Fixed Costs per month:$160,000

Burton Company wants to increase operating income to $100,000 per month. How many hats would they need to sell?

a) 4,000 hats

b) 10,400 hats

c) 2,000 hats

d) 6,400 hats

Burton Company produces top hats. They are comparing budgeted to actual results. Burton Company budgeted producing 10,000 hats each month. Here is the rest of their relevant information:

Selling price per hat:$50 each

Labor costs per hat:$15

Material costs per hat:$10

Fixed Costs per month:$160,000

Burton Company produces 8,000 hats in January. Their actual labor costs in January are $125,000. What is the flexible budget variance for labor costs?

Group of answer choices

a) $25,000 Favorable

b) $5,000 Unfavorable

c) $25,000 Favorable

d) $25,000 Unfavorable

Attic Inc has the following information:

Units produced and sold:5,000

Selling price per unit:$40

Direct expenses per unit:$25

Fixed expenses per month:$65,000

Attic Inc has the opportunity to rent a machine that would reduce variable expense by $5 per unit. It would cost $15,000 per month to rent.

Should Attic Inc rent the machine? Why or Why Not?

Group of answer choices

a) Yes. They would spend $15,000 per month more.

b) Yes. They would save $10,000 per month.

c) No. They would spend $15,000 per month more.

d) No. They would save $10,000 per month.

Beetle Company is analyzing their results and variances for the prior month. They had planned to use 5,000 pounds of material in production at a cost of $3 per pound. However, they actually used 6,000 pounds at a price of $2.80 per pound. What is Beetle Company's Price Variance?

Group of answer choices

a) $1,200 Favorable

b) $1,200 Unfavorable

c) $1,200 Favorable

d) $1,200 Unfavorable