Exercise 8-3 (Algo) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales...
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Accounting
Exercise 8-3 (Algo) Preparing flexible budgets LO P1 Tempo Company's fixed budget (based on sales of 12,000 units) folllows.
Fixed Budget Sales (12,000 units $215 per unit) 2,580,000
Costs
Direct materials 288,000
Direct labor 528,000
Indirect materials 324,000
Supervisor salary 88,000
Sales commissions 96,000
Shipping 192,000
Administrative salaries 138,000
DepreciationOffice equipment 108,000
Insurance 78,000
Office rent 88,000
Income 652,000
1. Compute total variable cost per unit.
2. Compute total fixed costs.
3. Prepare a flexible budget at activity levels of 10,000 units and 14,000 units.
1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 10,000 units and 14,000 units. Complete this question by entering your answers in the tabs below. Compute total variable cost per unit. Complete this question by entering your answers in the tabs below. Compute total fixed costs. Complete this question by entering your answers in the tabs below. Prepare a flexible budget at activity levels of 10,000 units and 14,000 units. Required 2 Required 3
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