Question
James Manufacturing had the following information available for July: Actual Results Flexible Budget Variance Flexible Budget Sales Activity Variance Master Budget Units 13,000 ? 2,000
James Manufacturing had the following information available for July:
Actual Results | Flexible Budget Variance | Flexible Budget | Sales Activity Variance | Master Budget | |
Units | 13,000 | ? | 2,000 U | ? | |
Sales revenue | ? | $ 13,000 F | ? | ? | ? |
Less: | |||||
Variable manufacturing costs | $ 87,750 | $ 91,000 | ? | $ 105,000 | |
Variable marketing and administrative | ? | $ 3,250 U | ? | $ 4,000 F | $ 30,000 |
Contribution margin | $ 52,000 | ? | ? | $ 6,000 U | ? |
What was James's flexible budget contribution margin for July?
James Manufacturing had the following information available for July:
Actual Results | Flexible Budget Variance | Flexible Budget | Sales Activity Variance | Master Budget | |
Units | 13,000 | ? | 2,000 U | ? | |
Sales revenue | ? | $ 13,000 F | ? | ? | ? |
Less: | |||||
Variable manufacturing costs | $ 87,750 | $ 91,000 | ? | $ 105,000 | |
Variable marketing and administrative | ? | $ 3,250 U | ? | $ 4,000 F | $ 30,000 |
Contribution margin | $ 52,000 | ? | ? | $ 6,000 U | ? |
What was James's flexible budget contribution margin for July?
A) $39,000
B) $45,000
C) $52,000
D) $58,000
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Cornerstones of Financial and Managerial Accounting
Authors: Rich Jones, Mowen, Hansen, Heitger
1st Edition
9780538751292, 324787359, 538751290, 978-0324787351
