Question
HELP PLEASE! Baird Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs
HELP PLEASE! Baird Publications established the following standard price and costs for a hardcover picture book that the company produces.
Standard price and variable costs Sales price $ 36.90 Materials cost 8.80 Labor cost 3.90 Overhead cost 5.70 Selling, general, and administrative costs 6.30 Planned fixed costs Manufacturing overhead $ 132,000 Selling, general, and administrative 46,000
Assume that Baird actually produced and sold 37,000 books. The actual sales price and costs incurred follow:
Actual price and variable costs Sales price $ 35.90 Materials cost 9.00 Labor cost 3.80 Overhead cost 5.75 Selling, general, and administrative costs 6.10 Actual fixed costs Manufacturing overhead $ 117,000 Selling, general, and administrative 52,000
Required
a. & b. Determine the flexible budget variances and also Indicate whether each variance is favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)
Baird Publications established the following standard price and costs for a hardcover picture book that the company produces. Standard price and variable costs Sales price Materials cost Labor cost Overhead cost Selling, general, and administrative costs Planned fixed costs Manufacturing overhead Selling, general, and administrative 36.90 8.80 3.90 5.70 6.30 $132,000 46,000 Assume that Baird actually produced and sold 37,000 books. The actual sales price and costs incurred follow: Actual price and variable costs Sales price Materials cost Labor cost Overhead cost Selling, general, and administrative costs Actual fixed costs Manufacturing overhead Selling, general, and administrative $ 35.90 9.00 3.80 5.75 6.10 $117,000 52,000 Required a. & b. Determine the flexible budget variances and also indicate whether each variance is favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).) Flexible Budget Variances Sales revenue Variable manufacturing costs Materials Labor Overhead Variable selling, general, and administrative costs Contribution margin Fixed costs Manufacturing overhead Selling, general, and administrative costs Net income
Baird Publications established the following standard price and costs for a hardcover picture book that the company produces.
| Standard price and variable costs | |||
| Sales price | $ | 36.90 | |
| Materials cost | 8.80 | ||
| Labor cost | 3.90 | ||
| Overhead cost | 5.70 | ||
| Selling, general, and administrative costs | 6.30 | ||
| Planned fixed costs | |||
| Manufacturing overhead | $ | 132,000 | |
| Selling, general, and administrative | 46,000 | ||
Assume that Baird actually produced and sold 37,000 books. The actual sales price and costs incurred follow:
| Actual price and variable costs | |||
| Sales price | $ | 35.90 | |
| Materials cost | 9.00 | ||
| Labor cost | 3.80 | ||
| Overhead cost | 5.75 | ||
| Selling, general, and administrative costs | 6.10 | ||
| Actual fixed costs | |||
| Manufacturing overhead | $ | 117,000 | |
| Selling, general, and administrative | 52,000 | ||
Required
a. & b. Determine the flexible budget variances and also Indicate whether each variance is favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)
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Corporate Financial Accounting
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
15th Edition
978-1337398169
