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Want to see if my answers and work are correct, thank you in advance will upvote! 1. Honeywell manufacturer of fireplaces had planned to produce
Want to see if my answers and work are correct, thank you in advance will upvote!
1. Honeywell manufacturer of fireplaces had planned to produce and sell 2,500 units at $105.00 per unit. Variable manufacturing costs are $25.00 per unit. Fixed costs are budgeted as follows: manufacturing, $40,000 and marketing, $30,000. During the current period, Honeywell sold 2,750 units and actual sales revenue for the period was $260,000. Fixed expenses were less than budgeted by $5,000 and actual variable manufacturing costs were $27.00 per unit. Calculate each of the following variances - Total Operating Income Variance - Flexible-budget variance for operating income - Sales volume variance for operating incomeStep by Step Solution
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