Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Exercise 8-3 (Static) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 7,000 units) follows. Fixed Budget Sales (7,080 units *
Exercise 8-3 (Static) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 7,000 units) follows. Fixed Budget Sales (7,080 units * $400 per unit) $ 2, 800, 090 Costs Direct materials 280, 090 Direct labor 490, 980 Indirect materials 175, 980 Supervisor salary 65,980 Sales commissions 149, 989 Shipping 154, 080 Administrative salaries 218, 980 Depreciation-Office equipment 35, 080 Insurance 20, 980 Office rent 36, 080 Income 1, 195, 980 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 6,000 units and 8,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute total variable cost per unit. Total variable cost per unit Exercise 8-3 (Static) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 7.000 units) follows. Fixed Budget Sales (7,080 units * $400 per unit) $ 2,800, 090 Costs Direct materials 280, 080 Direct labor 490, 080 Indirect materials 175, 090 Supervisor salary 65,089 Sales commissions 149, 090 Shipping 154, 090 Administrative salaries 210, 980 Depreciation-Office equipment 35, 090 Insurance 20, 090 Office rent 36, 090 Income 1, 195, 080 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 6,000 units and 8,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute total fixed costs. Total fixed costs Exercise 8-3 (Static) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 7.000 units) follows. Fixed Budget Sales (7,080 units * $400 per unit) $ 2,800, 080 Costs Direct materials 280, 089 Direct labor 490, 980 Indirect materials 175, 090 Supervisor salary 65, 989 Sales commissions 149, 989 Shipping 154, 980 Administrative salaries 210, 080 Depreciation-Office equipment 35, 980 Insurance 20, 980 Office rent 36, 908 Income 1, 195, 080 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 6,000 units and 8,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a flexible budget at activity levels of 6,000 units and 8,000 units. TEMPO COMPANY Flexible Budget Flexible Budget for: Variable Amount | Total Fixed Units Sales Unit Sales of per Unit Cost of 6,000 8,000 Variable costs Fixed costs
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started