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Maxwell Corporation repairs heavy farming machinery. The company has determined the following fixed and variable cost estimates for budgeting purposes. Fixed Amount Per Month Variable
Maxwell Corporation repairs heavy farming machinery. The company has determined the following fixed and variable cost estimates for budgeting purposes. Fixed Amount Per Month Variable Amount Per Machine Repaired $4,000 $400 00:26:45 $50,000 Revenue Employee Salaries and Wages Repair Materials Other Expenses $800 $20,000 The company's planning budget assumed that 110 machines would be repaired. The actual number of machines repaired during the period was 100 and the actual employee salaries and wages for the period were $100,000. "Employee salaries and wages" in Maxwell's flexible budget for the period would have been: Multiple Choice Oo oo $90,000 Comenco Company's cost formula for its wages and salaries is $3,150 per month plus $200 per camping trip. For the month of August, Comenco planned to take customers on 90 trips, but actually took customers on only 100 trips. The actual wages and salaries for the month was $22,120. The wages and salaries in the flexible budget for August would be: Multiple Choice 0 $18,000 0 $23,150 0 O $21,150 0 O $22,120
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