Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Horatio Inc. has three divisions which are operated as profit centers. Actual operating data for the divisions listed alphabetically are as follows. Part 1 Compute

Horatio Inc. has three divisions which are operated as profit centers. Actual operating data for the divisions listed alphabetically are as follows.

Part 1

Compute the missing amounts.

Operating Data

Womens Shoes

Mens Shoes

Childrens Shoes

Contribution margin

$312,120

$

(3)

$208,080

Controllable fixed costs

115,600

(4) (5)

Controllable margin

(1)

104,040

109,820

Sales

693,600

520,200

(6)

Variable costs

(2)

369,920

289,000

Save for Later

Last saved 1 second ago.

Saved work will be auto-submitted on the due date.

Attempts: 0 of 1 used

Submit Answer

Part 2

Prepare a responsibility report for the Womens Shoes Division assuming (1) the data are for the month ended June 30, 2020, and (2) all data equal budget except variable costs which are $5,780 over budget.

HORATIO INC. Womens Shoe Division Responsibility Report For the Month Ended June 30, 2020

Difference

Budget

Actual

Favorable Unfavorable Neither Favorable nor Unfavorable

Contribution MarginControllable MarginControllable Fixed CostsFixed CostsGross ProfitNet Income/(Loss)SalesVariable Costs

$

$

$

FavorableUnfavorableNeither Favorable nor Unfavorable

Contribution MarginControllable MarginControllable Fixed CostsFixed CostsGross ProfitNet Income/(Loss)SalesVariable Costs

FavorableUnfavorableNeither Favorable nor Unfavorable

Contribution MarginControllable MarginControllable Fixed CostsFixed CostsGross ProfitNet Income/(Loss)SalesVariable Costs

FavorableUnfavorableNeither Favorable nor Unfavorable

Contribution MarginControllable MarginControllable Fixed CostsFixed CostsGross ProfitNet Income/(Loss)SalesVariable Costs

FavorableUnfavorableNeither Favorable nor Unfavorable

Contribution MarginControllable MarginControllable Fixed CostsFixed CostsGross ProfitNet Income/(Loss)SalesVariable Costs

$

$

$

FavorableUnfavorableNeither Favorable nor Unfavorable

Save for Later

Last saved 1 second ago.

Saved work will be auto-submitted on the due date.

Attempts: 0 of 1 used

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting Longman Modular Texts In Business And Economics

Authors: Christopher Waterston, Anne Britton

2nd Edition

058238169X, 978-0582381698

More Books

Students also viewed these Accounting questions

Question

What are the assumptions required of a multiple regression model?

Answered: 1 week ago