Question
Question 18 options: Big Construction's actual results and the Master or Static budget information for the month of May is below. Big Construction is in
Question 18 options:
Big Construction's actual results and the Master or Static budget information for the month of May is below. Big Construction is in the process of preparing the flexible budget and understanding the results.
| Actual Results | Flexible Budget | Static Budget | ||
| Sales volume (in units) | 13,000 | 10,000 | ||
Sales revenues | $275,000 | $250,000 | ||
| Variable costs | 200,000 | 175,000 | ||
| Contribution Margin | 75,000 | 75,000 | ||
| Fixed costs | 50,500 | 49,500 | ||
| Operating profit | $24,500 | 25,500 |
The flexible budget operating profit is:
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Financial Accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
11th Edition
1119594596, 978-1119594598
