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Tempo Company's fixed budget (based on sales of 12,000 units) folllows. Fixed Budget Sales (12,000 units $205 per unit) 2,460,000 Costs Direct materials 288,000 Direct
Tempo Company's fixed budget (based on sales of 12,000 units) folllows.
Fixed Budget | |
---|---|
Sales (12,000 units $205 per unit) | 2,460,000 |
Costs | |
Direct materials | 288,000 |
Direct labor | 504,000 |
Indirect materials | 336,000 |
Supervisor salary | 88,000 |
Sales commissions | 108,000 |
Shipping | 180,000 |
Administrative salaries | 138,000 |
DepreciationOffice equipment | 108,000 |
Insurance | 78,000 |
Office rent | 88,000 |
Income | 544,000 |
1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 10,000 units and 14,000 units
Complete this question by entering your answers in the tabs Compute total variable cost per unit. Compute total fixed costs. Complete this question by entering your answers in the tabs below. repare a flexible budget at activity levels of 10,000 units and 14,000 units
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