Sheffield manufactures aluminum canoes. In planning for the coming year, CFO Alexis King is considering three different sales targets: 2,670 canoes, 3,370 canoes, and 3,950 canoes. Canoes sell for $880 each. The standard variable cost information for a canoe is as follows.

Direct materials$210

Direct labor146

Variable overhead

Utilities35

Indirect material30

Indirect labor60

Total$481

Annual fixed overhead cost is expected to be:

Maintenance$24,900

Depreciation42,200

Insurance27,600

Rent33,900

Total$128,600

Prepare a flexible budget for the three sales levels under consideration.

Unit

2,670

3,370

3,950

select an opening item Fixed expensesIndirect materialVariable expensesUtilitiesContribution marginDepreciationIndirect laborOperating incomeTotal fixed expensesInsuranceTotal variable expensesRentDirect laborDirect materialSales revenueMaintenance

$enter a dollar amount $enter a dollar amount $enter a dollar amount $enter a dollar amount

select between addition and deduction LessAdd: select an opening item MaintenanceContribution marginUtilitiesDepreciationDirect laborFixed expensesInsuranceOperating incomeSales revenueVariable expensesDirect materialTotal variable expensesIndirect materialRentTotal fixed expensesIndirect labor

select an opening item Total fixed expensesContribution marginDirect laborTotal variable expensesDirect materialIndirect materialIndirect laborSales revenueFixed expensesOperating incomeUtilitiesRentInsuranceDepreciationVariable expensesMaintenance

enter a dollar amountenter a dollar amountenter a dollar amountenter a dollar amount

select an opening item InsuranceUtilitiesDepreciationTotal fixed expensesIndirect laborDirect laborFixed expensesMaintenanceDirect materialOperating incomeIndirect materialRentTotal variable expensesVariable expensesSales revenueContribution margin

enter a dollar amountenter a dollar amountenter a dollar amountenter a dollar amount

select an opening item Total fixed expensesDirect laborContribution marginSales revenueTotal variable expensesUtilitiesInsuranceMaintenanceOperating incomeFixed expensesDirect materialIndirect materialVariable expensesIndirect laborRentDepreciation

enter a dollar amountenter a dollar amountenter a dollar amountenter a dollar amount

select an opening item Indirect laborFixed expensesIndirect materialMaintenanceInsuranceTotal fixed expensesDepreciationUtilitiesTotal variable expensesDirect materialSales revenueDirect laborRentVariable expensesOperating incomeContribution margin

enter a dollar amountenter a dollar amountenter a dollar amountenter a dollar amount

select an opening item Contribution marginIndirect materialTotal variable expensesOperating incomeFixed expensesSales revenueUtilitiesInsuranceDirect laborMaintenanceTotal fixed expensesDepreciationRentIndirect laborDirect materialVariable expenses

enter a dollar amountenter a dollar amountenter a dollar amountenter a dollar amount

select an opening item UtilitiesIndirect laborMaintenanceDepreciationIndirect materialDirect materialFixed expensesVariable expensesDirect laborInsuranceTotal fixed expensesSales revenueOperating incomeRentContribution marginTotal variable expenses

enter a total amount for section oneenter a total amount for section oneenter a total amount for section oneenter a total amount for section one

select an opening item Operating incomeTotal variable expensesSales revenueInsuranceContribution marginDirect materialMaintenanceFixed expensesIndirect laborVariable expensesIndirect materialDirect laborRentTotal fixed expensesUtilitiesDepreciation

$enter a total amount for the first part enter a total amount for the first partenter a total amount for the first partenter a total amount for the first part

select between addition and deduction AddLess: select an opening item RentTotal variable expensesContribution marginTotal fixed expensesIndirect materialIndirect laborSales revenueVariable expensesDirect materialDirect laborOperating incomeMaintenanceDepreciationInsuranceFixed expensesUtilities

select an opening item Sales revenueTotal fixed expensesVariable expensesUtilitiesTotal variable expensesContribution marginDirect materialMaintenanceOperating incomeRentIndirect laborInsuranceIndirect materialDepreciationFixed expensesDirect labor

enter a dollar amountenter a dollar amountenter a dollar amount

select an opening item RentTotal fixed expensesVariable expensesIndirect materialOperating incomeDirect laborIndirect laborDepreciationSales revenueFixed expensesUtilitiesTotal variable expensesInsuranceMaintenanceContribution marginDirect material

enter a dollar amountenter a dollar amountenter a dollar amount

select an opening item Sales revenueOperating incomeTotal variable expensesDepreciationInsuranceDirect laborUtilitiesTotal fixed expensesDirect materialRentFixed expensesContribution marginMaintenanceIndirect materialVariable expensesIndirect labor

enter a dollar amountenter a dollar amountenter a dollar amount

select an opening item RentIndirect materialOperating incomeDirect materialFixed expensesSales revenueDepreciationInsuranceUtilitiesDirect laborTotal fixed expensesVariable expensesMaintenanceIndirect laborContribution marginTotal variable expenses

enter a dollar amountenter a dollar amountenter a dollar amount

select an opening item UtilitiesRentDepreciationOperating incomeDirect materialTotal variable expensesFixed expensesSales revenueIndirect laborInsuranceContribution marginIndirect materialMaintenanceDirect laborTotal fixed expensesVariable expenses

enter a total amount for section twoenter a total amount for section twoenter a total amount for section two

select an opening item Variable expensesContribution marginFixed expensesInsuranceDepreciationRentDirect materialMaintenanceUtilitiesIndirect materialIndirect laborDirect laborTotal variable expensesTotal fixed expensesOperating incomeSales revenue

$enter a total amount for this budget $enter a total amount for this budget $enter a total amount for this budget