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Arctica manufactures snowmobiles and ATVs. These products are made in different departments, and each...

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Accounting

Arctica manufactures snowmobiles and ATVs. These products are made in different departments, and each department has its own manager. Each responsibility performance report includes only those costs that the department manager can control: direct materials, direct labor, supplies used, and utilities.
For Year Ended December 31 Budget Actual
Snowmobile ATV Snowmobile ATV
Direct materials $ 19,990 $ 28,000 $ 19,920 $ 29,370
Direct labor 10,90021,00011,21021,790
Department manager salaries 4,8005,7004,9004,900
Supplies used 3,8509503,670970
Utilities 410590380550
Rent 6,2006,8005,8006,800
Totals $ 46,150 $ 63,040 $ 45,880 $ 64,380

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