Question
Tempo Company's fixed budget (based on sales of 14,000 units) folllows. Fixed Budget Sales (14,000 units $202 per unit) 2,828,000 Costs Direct materials 336,000 Direct
Tempo Company's fixed budget (based on sales of 14,000 units) folllows.
Fixed Budget | |
Sales (14,000 units $202 per unit) | 2,828,000 |
---|---|
Costs | |
Direct materials | 336,000 |
Direct labor | 602,000 |
Indirect materials | 378,000 |
Supervisor salary | 136,000 |
Sales commissions | 112,000 |
Shipping | 210,000 |
Administrative salaries | 186,000 |
DepreciationOffice equipment | 156,000 |
Insurance | 126,000 |
Office rent | 136,000 |
Income | 450,000 |
1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 12,000 units and 16,000 units.
Complete this question by entering your answers in the tabs below.
- Required 1
- Required 2
- Required 3
Compute total variable cost per unit.
|
Complete this question by entering your answers in the tabs below.
- Required 1
- Required 2
- Required 3
Compute total fixed costs.
|
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 12,000 units and 16,000 units.
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started