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Compute variances for the following items and indicate the effect of each variance by selecting Favorable or Unfavorable. (Input all amounts as positive values. Omit
Compute variances for the following items and indicate the effect of each variance by selecting "Favorable" or "Unfavorable". (Input all amounts as positive values. Omit the "$" sign in your response.) |
| Item | Budget | Actual | Variance | Effect | |||||
| Sales price | $ | 650 | $ | 525 | $ | ||||
| Sales revenue | $ | 580,000 | $ | 600,000 | $ | ||||
| Cost of goods sold | $ | 385,000 | $ | 360,000 | $ | ||||
| Material purchases at 5,000 pounds | $ | 275,000 | $ | 280,000 | $ | ||||
| Materials usage | $ | 180,000 | $ | 178,000 | $ | ||||
| Production volume | 950 | units | 900 | units | units | ||||
| Wages at 4,000 hours | $ | 60,000 | $ | 58,700 | $ | ||||
| Labor usage at $16 per hour | $ | 96,000 | $ | 97,000 | $ | ||||
| Research and development expense | $ | 22,000 | $ | 25,000 | $ | ||||
| Selling and administrative expenses | $ | 49,000 | $ | 40,000 | $ | ||||
| | |||||||||
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Audit And Business Performance
Authors: BELAMKADDAM HAMZA
1st Edition
6205444062, 978-6205444061
