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Tempo Company's fixed budget (based on sales of 10,000 units) folllows. Fixed Budget Sales (10,000 units x $214 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 $214 per unit) Costs Direct materials Direct labor Indirect materials 2,140,000 240,000 430,000 260,000 Supervisor salary 40,000 Sales commissions 80,000 Shipping 140,000 Administrative salaries 90,000 Depreciation-Office equipment 60,000 Insurance 30,000 Office rent 40,000 Income 730,000 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 materials Direct labor Indirect materials Sales commissions Chinning TEMPO COMPANY Flexible Budget Variable Amount Total Fixed per Unit Cost $ 214.00 24.00 43.00 26.00 8.00 1400 Flexible Budget for: Units Sales Unit Sales of of 8,000 $1,712,000 12,000 $2,568,000
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