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Q1Appliance Possible Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants to begin using a flexible
Q1Appliance Possible Inc. (AP) is a manufacturer of toaster ovens. To improve control over operations, the president of AP wants to begin using a flexible budgeting system, rather than use only the current master budget. The following data are available for AP's expected costs at production levels of 90,000, 100,000, and 110,000 units. Variable costs Manufacturing S6 per unit Administrative S4 per unit Selling S3 per unit Fixed costs Manufacturing $160,000 Administrative $ 80,000 Instructions (a) Prepare a flexible budget for each of the possible production levels: 90,000, 100,000, and 110,000 units. Q2: Use the Information In Above Question (Q1) (A) If AP sells the toaster ovens for $16 each, how many units will it have to sell to make a profit of $60,000 before taxes
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