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Please help with number 6, also i am confused with U or F for numbers 1-5, please check the letters if you can. Thank you.
Please help with number 6, also i am confused with U or F for numbers 1-5, please check the letters if you can. Thank you.
1. Prepare a flexible budget performance report for Production that compares actual and allowed costs. Production Department Flexible Budget Performance Report For Month of October Flexible Flexible Budget Budget Designatio Actual costs Cost Variances n U or F 825 800 25 U Units Direct Materials Direct Labor Variable Manufacturing overhead Fixed Manufacturing Total $39,600 14,850 13,200 39,000 106,650 $38,400 14,400 12,800 39,000 $104,600 1200 F 450 F 400 F $ $ 2,050 F 2. Prepare a flexible budget performance report for selling and distribution that compares actual and allowed costs. Selling and Distribution Cost Center Flexible Budget Performance Report For Month of October Flexible Flexible Budget Budget Designatio Actual costs Cost Variances n U or F 825 800 25 U Units 1125 F Selling and Distribution: Variable Fixed Total 37,125 31,000 68,125 $ 36,000 31,000 - $ 67,000 $ 1,125 F 3. Determine the revenue variance. Actual Budget Revenue Variance $ $ $ 230,000 195,200 34,800 F 4. Determine the sales price variance. Actual sale price per unit Budgeted sales price per unit Actual units sold Sales Price Variance $279 $244 825 28,700 F 5. Determine the sales volume variance. Sales volume variance $6,100 F 6. Explain to management the areas that should be investigated. You should also include why the actual income is less than budgeted Explain why you picked these areas to look atStep by Step Solution
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