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The following overhead cost data is for the canoe department at the Lake Company. The budget below was based on the projection that Lake would
The following overhead cost data is for the canoe department at the Lake Company. The budget below was based on the projection that Lake would produce 220 units. The company exceeded its budget, producing 260 units. Details of their actual costs (for 260 units) and budgeted costs (for 220 units) can be found be found below: Actual Costs incurred 260 Static Budget 220 Units Variable Costs: Indirect materials Power Fixed costs: Supervision Rent $9,000 $2,000 $7,500 $1,800 $1,560 $7,300 $1,500 $7,300 Complete the following table. (14 marks) Actual Costs Incurred 260 Units $ Flexible Budget 260 Units $ Static Budget 220 Units $ Complete the following variances (6 marks) Indicate if favourable or unfavourable with your calculated $ amount Flexible budget variance Sales volume variance Total static budget variance
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