Question
Perez Manufacturing Company established the following standard price and cost data. Sales price $ 8.70 per unit Variable manufacturing cost $ 3.10 per unit Fixed
Perez Manufacturing Company established the following standard price and cost data.
| Sales price | $ | 8.70 | per unit |
| Variable manufacturing cost | $ | 3.10 | per unit |
| Fixed manufacturing cost | $ | 2,800 | total |
| Fixed selling and administrative cost | $ | 500 | total |
Perez planned to produce and sell 2,100 units. Actual production and sales amounted to 2,300 units.
Required
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Determine the sales and variable cost volume variances.
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Classify the variances as favorable (F) or unfavorable (U).
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Determine the amount of fixed cost that will appear in the flexible budget.
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Determine the fixed cost per unit based on planned activity and the fixed cost per unit based on actual activity.
- and B
- Req D
- Req E
Determine the sales and variable cost volume variances and classify the variances as favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).)
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Determine the amount of fixed cost that will appear in the flexible budget.
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Determine the fixed cost per unit based on planned activity and the fixed cost per unit based on actual activity. (Round your answers to 2 decimal places.)
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Auditing And Systems Objective Questions And Explanations Comprehensive And Systematic Covarage Of Auditing Including The Most Recent Authoritative Pronouncements
Authors: Irvin N. Gleim
7th Edition
0917539672, 978-0917539671
