Sales (20,000 units) Cost of sales: Direct materials Direct labor Variable overhead Fixed overhead Gross profit Operating expenses: Fixed Variable Income from operations $200,000 160.000 60.000 80.000 Gross profit Operating expenses: Fixed Variable Income from operations $ 12.000 40.000 The company's actual activity for the year follows: Sales (21,000 units) Cost of goods sold: Direct materials Direct labor Variable overhead Fixed overhead $231.000 168,000 73.500 77.500 $600,000 12.000 39.500 500.000 $100,000 52.000 $48.000 $651,000 550.000 $101.000 51.500 $ 49.500
Sales (20,000 units) Cost of sales: Direct materials Direct labor Variable overhead Fixed overhead Gross profit Operating expenses: Fixed Variable Income from operations $200,000 160.000 60.000 80.000 Gross profit Operating expenses: Fixed Variable Income from operations $ 12.000 40.000 The company's actual activity for the year follows: Sales (21,000 units) Cost of goods sold: Direct materials Direct labor Variable overhead Fixed overhead $231.000 168,000 73.500 77.500 $600,000 12.000 39.500 500.000 $100,000 52.000 $48.000 $651,000 550.000 $101.000 51.500 $ 49.500
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter8: Budgeting
Section: Chapter Questions
Problem 2PB: Sales, production, direct materials purchases, and direct labor cost budgets The budget director of...
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