Question
Lewis Company reports the following fixed budget and actual results for May. Prepare a flexible budget performance report showing variances between budgeted and actual results.
Lewis Company reports the following fixed budget and actual results for May. Prepare a flexible budget performance report showing variances between budgeted and actual results.
Note: Indicate the effect of the variance by selecting favorable, unfavorable, or no variance.
| Fixed Budget | Actual Results | ||
|---|---|---|---|
| Sales (units produced and sold) | 1,360 | 1,560 | |
| Sales (in dollars) | $ 1,100 | per unit | $ 1,753,000 |
| Variable costs | $ 440 | per unit | $ 694,000 |
| Fixed costs | $ 149,000 | $ 138,000 | |
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Fundamental Managerial Accounting Concepts
Authors: Edmonds, Tsay, olds
6th Edition
71220720, 78110890, 9780071220729, 978-0078110894
