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Tempo Company's fixed budget (based on sales of 10,000 units) folllows. Fixed Budget Sales (10,000 units x $215 per unit) Costs Direct materials Direct
Tempo Company's fixed budget (based on sales of 10,000 units) folllows. Fixed Budget Sales (10,000 units x $215 per unit) Costs Direct materials Direct labor Indirect materials Supervisor salary Sales commissions Shipping Administrative salaries Depreciation-Office equipment Insurance Office rent Income 2,150,000 240,000 420,000 270,000 40,000 90,000 150,000 90,000 60,000 30,000 40,000 720,000 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a flexible budget at activity levels of 8,000 units and 12,000 units. Sales Variable costs Direct labor Indirect materials Sales commissions Shipping Direct materials TEMPO COMPANY Flexible Budget Variable Amount Total Fixed per Unit Cost $ $ 215.00 3,440,000.00 42.00 27.00 9.00 15.00 24.00 Flexible Budget for: Units Sales Unit Sales of of 8,000 12,000 Total variable costs 117.00 Contribution margin $ 98.00 Fixed costs Supervisor salary 40,000 Administration salaries 90,000 Depreciation-Office equipment 60,000 Insurance 30,000 Office rent 40,000 Total fixed costs $ 0 $ 0 $ 0 Income
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