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Vaughn manufactures aluminum canoes. In planning for the coming year, CFO Alexis King is considering three different sales targets 1,200 canoes, 1,700 canoes, and 2,200

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Vaughn manufactures aluminum canoes. In planning for the coming year, CFO Alexis King is considering three different sales targets 1,200 canoes, 1,700 canoes, and 2,200 canoes. Candes sell for $800 each. The standard variable cost information for a canoe is as follows $ 230 100 Direct materials Direct labor Variable overhead Utilities Indirect material Indirect labor 10 45 30 Total $415 Annual fixed overhead cost is expected to be: S 46,000 Maintenance Depreciation 35,000 Insurance 28.000 Rent 57.000 Total 5 166,000 Alexis King chose to prepare a static budget based on sales of 2,000 canoes. Actual sales were 2,050 canoes at a price of $ 790 each. The company incurred the following costs for the year: $ Direct material Direct labor Variable overhead 460,000 205,200 189.700 Fixed overhead 150,000 Total $ 1,004,900 Prepare a performance report for the year that shows the flexible budget and sales volume variances. (If operating income is negative, enter amounts using a negative sign preceding the number eg.-45 or parentheses eg.(45). Round answers to O decimal places, es 125. I variance is zero, select "Not Applicable and enter for the amounts.) Actual Results Flexible Budget Variance Unit sales 2050 Sales revenue 1619500 $ 20500 Unfavorable Less V Variable expenses Direct material 460000 11500 Favorable Direct labor 205200 i 200 Unfavorable Overhead 189700 15450 Unfavorable v Total variable expenses 854900 4150 Unfavorable Contribution margin 764600 24650 Unfavorable V Total forced expenses 150000 16000 Favorable Operating income s 614600 8650 Unfavorable e Textbook and Media Total $ 1,004,900 Prepare a performance report for the year that shows the flexible budget and sales volume variances. (If operating income is negative, enter amounts using a negative sign preceding the number eg.-45 or parentheses eg. (45). Round answers to O decimal places, eg. 125. If variance is zero, select "Not Applicable and enter for the amounts.) Flexible Budget Sales Volume Variance Static Budget avorable $ Favorable $ orable Unfavorable avorable Unfavorable avorable Unfavorable DATA vorable Unfavorable avorable Favorable orable Favorable V tvorable Favorable eTextbook and Media

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