Required A Required BConstruct the master budget for the period.BENTLER ASSOCIATESMaster BudgetSales volumeSales revenueVariable costs:ManufacturingMarketing and administrativeContribution marginFixed costsManufacturingMarketing and administrativeOperating profit$00units+Required B > The following are the actual results for Bentler Associates for the most recent period:Sales volumeSales revenueVariable costsManufacturingMarketing and administrativeContribution margin:Fixed costsManufacturingMarketing and administrativeOperating profit72,160 unitsRequired:a. Construct the master budget for the periodb. Prepare a profit variance analysis$ 938,080230,00039,050$668,950421,700103,950$ 143,300The company planned to produce and sell 82,000 units for $12.50 each. At that volume, the contribution margin would have been$728.000 Variable marketing and administrative costs are budgeted at 5 percent of sales revenue Manufacturing fixed costs areestimated at $5 per unit at the budgeted volume of 82,000 units Management notes, "We budget an operating profit of $2.50 per unitat the budgeted volume"4

It is the variance report prepared by the management that reflects the difference between the result…

The following are the actual results for Bentler Associates for the most recent period: 72,160 units Sales volume Sales revenue Variable costs Manufacturing Marketing and administrative Contribution margin Fixed costs Manufacturing Marketing and administrative Operating profit $ 938,080 Required: a. Construct the master budget for the period. b. Prepare a profit vanance analysis. 230,080 39,050 1668,950 421,700 101,950 $ 143,300 The company planned to produce and sell 82,000 units for $12.50 each. At that volume, the contribution margin would have been $728.000 Variable marketing and administrative costs are budgeted at 5 percent of sales revenue Manufacturing fixed costs are estimated at $5 per unit at the budgeted volume of 82,000 units Management notes, "We budget an operating profit of $2.50 per unit at the budgeted volume" 4

The following are the actual results for Bentler Associates for the most recent period: 72,160 units Sales volume Sales revenue Variable costs Manufacturing Marketing and administrative Contribution margin Fixed costs Manufacturing Marketing and administrative Operating profit $ 938,080 Required: a. Construct the master budget for the period. b. Prepare a profit vanance analysis. 230,080 39,050 1668,950 421,700 101,950 $ 143,300 The company planned to produce and sell 82,000 units for $12.50 each. At that volume, the contribution margin would have been $728.000 Variable marketing and administrative costs are budgeted at 5 percent of sales revenue Manufacturing fixed costs are estimated at $5 per unit at the budgeted volume of 82,000 units Management notes, "We budget an operating profit of $2.50 per unit at the budgeted volume" 4

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 11MC: Which of the following statements is not correct? A. The sales budget is computed by multiplying...

See similar textbooks

Similar questions

Required: a) Using Activity Based Costing, calculate the rate for each cost driver. b) Using activity based budgeting, prepare a budgeted yearly operating statement for Aero3D Ltd. Show the following separately, within the statement. i. The budgeted output for each product per year; ii. The contribution to profits for each product and in total before charging activity based costs; iii. The profit for each product and in total after charging activity based costs but before charging core costs (non-activity based costs); iv. The total profit after charging core based costs.
Crystal Mining has completed the following data to analyze utility cost:MonthMachine Hours Utility CostJanuary200P 300February325440March400480April410490May525620June680790July820840August900900Required:1.Use the least squaresmethod to develop a formula for budgeting utility cost. (Round off value of b to two decimal places and the value of a to nearest peso.2.Prepare flexible budget with separate variable and fixed categories for utility costs at 350, 500, and 600 machine hours.
Compute the sales variances (total, price and volume) from the following figures: Budgete Budgeted Price per Unit Actua Produ Actual Priceper unit (') ct d quantit quantit y y P 400 25 480 30 300 50 280 45 R 200 75 240 70 100 10 800 105
On the production budget, the number of units to be produced is computed as Select one: a. unit sales + desired end inventory + beginning inventory. b. unit sales - desired end inventory - beginning inventory. c. unit sales - desired end inventory + beginning inventory. d. unit sales + desired end inventory - beginning inventory. e. unit sales - cost of goods sold + beginning inventory. PreviousSave AnswersNext
Required Informati (The following information applies to the questions displayed below.] Adger Corporation is a service company that measures its output based on the number of customers served. The company provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results for May as shown below: pexTA Elenent Variable Element per Cuntomer Served $ 5,800 $1,200 $ 570 Actual Total for May $184,000 $ 105,300 $ 16,500 * 41,600 per Month Revenue Enployee salaries and wagen Travel expennes other expenees $65,000 44,000 When preparing its planning budget the company estimated that it would serve 30 customers per month; however, du May the company octually served 35 customers. 5. What net operating income would appear in Adger's flexible budget for May? Net operating income
Campbell Industries has gathered the following information about the actual sales revenues and expenses for its pharmaceuticals segment for the most recent year. E (Click the icon to view the actual data.) Prepare a segment margin performance report for the pharmaceutical segment. Calculate a variance and a variance percentage for each line in the report. Round to the nearest hundredth for the variance percentages (for example, if your answer is 16.2384%, round it to 16.24%). Budgeted data for the same time period for the pharmaceutical segment are as follows (all data are in millions): E (Click the icon to view the budgeted data.) Begin by preparing the performance report through the contribution margin line. Next, complete the report through the segment margin line, and then, finally, complete the report through the operating income line. (Enter the variances as positive numbers. Round the variance percentages to the nearest hundredth percent, X.XX%.) Performance Report Data table…
The following information relates to a department of I. Graham Standard Costs and Operating Performance Measures Standard Costs and Operating Performance Measures 33. 357 Company for the fourth quarter 2018: Actual total overhead (fixed plus variable) Budget formula... Total overhead application rate... Spending variance Volume variance... P178,500 P110,000 plus PO.50 per hour P1.50 per hour P8,000 unfavorable P5,000 favorable ..... The total overhead variance is divided into three variances: spending, efficiency, and volume. What were the actual hours worked in this department during the quarter? 110,000 b. a. 137,000 153,000 с. 121,000 d. Refer to Question no. 33. What were the standard hours ailowed for good output in this department during the quarter? 105,000 b. 34. 120,000 115,000 a. C. 106,667 d. 35. Refer to Question no. 33. Each unit takes five hours to manufacture, and the selling price is P4.50 per unit. Based on the overhead budget fermula, how many units must be sold to…
1. Prepare a performance report that compares static budget and actual costs for the period just ended (i.e., the report that Kellerman likely used when assessing his performance
10 points Classify the following items as: Management Reporting System Transaction Financial Reporting Processing System System Variance Reports Sales order capture Annual report preparation Budgets Purchase order preparation Tax returns Sales summary by product line Cash disbursements preparation Invoice preparation Cost-volume-profit analysis O O O O O O O
PLEASE ANSWER THE FOLLOWING QUESTIONS: Requirements 1. Compute the total sales-volume variance, the total sales-mix variance, and the total sales-quantity variance. (Calculate all variances in terms of contribution margin.) Show results for each product in your computations. 2. What inferences can you draw from the variances computed in requirement 1? Data table Budget for 2020 Selling Variable Cost Cartons Product Price per Carton Sold Kostor $11.00 $ Limba $ 23.00 $ 6.40 16.15 Actual for 2020 Selling Variable Cost Cartons Price per Carton Sold 7.40 138,600 16.35 59,400 132,000 $11.60 S 88,000 $ 24.40 $
Match the definition the term. Terms: Cost variance Overhead cost variance Price variance Quantity variance Standard costs Sales budget Production Budget Balanced scorecard Profit center Cost center Definitions: 1. A plan showing the units of goods to be sold and sales to be derived; usually starting pointing the budgeting process. 2. A system of performance measures, including the nonfinancial measures, used to asses manager performance. 3. A department that incurs cost and genrate revenues, such as a selling department 4. The difference between actual and budgeted sales or cost caused by the difference between the actual per unit and the budgeted price per unit. 5. The difference between actual cost and standard cost, made up of a price variance and a quantity variance. 6. The difference between the total overhead cost actually incurred and the total overhead cost applied to products 7. The difference between the actual budgeted cost caused by…
1) The sales budget is based on assumptions about the ___________. a) Number of units to be sold and selling price per unit. b) Timing of cash receipts. c) Contribution margin per unit and the number of units to be sold. d) Costs of the units produced and the total fixed costs. 2) When constructing the production budget, the desired ending inventory for the period is determined based on: a) Next period sales b) Next period production c) Last period production and sales d) Credit period 3)Standard time allowed to complete one unit is 2 hours. A worker during a week (48 hours) completed 20 units and drawn a salary of Rs. 6000. The standard rate per day of 8 hours shift is Rs. 1000. Which one of the following is true? a)Labour efficiency variance is Zero b)Labour rate variance is zero c)Labour cost variance is zero d)None of the above