Global​ Engineering's actual operating income for the current year is $57,000. The flexible budget operating income for actual sales volume is $32,000​, while the static budget operating income is $56,000. What is the sales volume variance for operating​ income?   A. $1,000 favorable B. $24,000 favorable C. $24,000 unfavorable D. $1,000 unfavorable

Q: A company's budgeted price of its product is $50 per unit. The company's planned level of activity…

A: Solution: revenue as per flexible budget for actual units = 2200*$50 = $110,000

Q: QUESTION 9 The following information is given for Ace Company:    Actual Amount Flexible budget…

A: A. Profit Variance in the above question = $21000 - $17500 = $3500 Unfavorable B. Revenue Variance…

Q: Assume that the amount of one of a company's variable expenses in its flexible budget is $40,000.…

A: The variance is calculated as difference between actual and budgeted expenses.

Q: Marathon Sports Equipment Company projected sales of 79,000 units at a unit sales price of $12 for…

A: Sales volume  variance  = (actual  units - budgeted units ) × Budgeted  selling price

Q: Franklin Educational Services had budgeted its training service charge at $84 per hour. The company…

A: 1) The Sales Volume Variance =(Actual Sales x Budgeted Price)-(Budgeted Sales x Budgeted Price )…

Q: The master budget at Western Company last period called for sales of 225,000 units at $9 each. The…

A: Computation of Sales activity variances are as under:

Q: Example: The budgeted sales of SM Ltd were 740 units at a selling price of $21. The actual sales…

A: Variance analysis: It is the technique in budgeting that allows for analysis of the variances…

Q: The static​ budget, at the beginning of the​ month, for Divine​ Décor Company,​ follows:   Static​…

A: Flexible budget variance is the difference between budgeted sales revenue for actual units and the…

Q: Bay City Company’s fixed budget performance report for July follows. The $587,000 budgeted total…

A: Variance is calculated by measuring the difference between the actual results and the flexible…

Q: A company's master budget for October is to manufacture and sell 60,000 units with fixed costs of…

A: Introduction: A budget is intended to anticipate an entity's financial outcomes and position for a…

Q: Star Company has a standard absorption and flexible budgeting system. Selected data for November…

A: Total Spending Variance - The spending variance is the difference between the budgeted cost and the…

Q: The master budget at Western Company last period called for sales of 225,000 units at $9 each. The…

A: Profit variance analysis of Western company is as under:

Q: fop managers of Marshall Industries predicted 2018 sales of 14,800 units of its product at a unit…

A: Budget is the estimation of revenues and expenses related to specific period of time in future.

Q: A company's budgeted price of its product is $50 per unit. The company's planned level of activity…

A: Revenue variance = ( Actual level of activity x budgeted price per unit - Actual revenue)

Q: James Manufacturing has the following information available for July:     Actual Results…

A: Solution Working note  Flexible budget variable marketing and administrative cost = 37000 -9200 =…

Q: Thomson Manufacuting reports the following information at year end. Actual overhead applied…

A: Here in this question, we are required to calculate the efficiency variance. Efficiency variance is…

Q: The total sales mix variance for both products is

A:

Q: Munoz Educational Services had budgeted its training service charge at $69 per hour. The company…

A: Formula: Sales volume variance = ( Actual sales - Budgeted sales ) x Budgeted rate

Q: he following information relates to a given department of Viernes Company for its fourth quarter of…

A: It is given that Actual total overhead - P178,500 Budget formula -P110,000 + P50 per hour Total…

Q: The fixed budget for 20,000 units of production shows sales of $400,000; variable costs of $80,000;…

A: Working:

Q: Star Company has a standard absorption and flexible budgeting system. Selected data for November…

A: Variance is the difference between budgeted figures and the actual amount incurred in the production…

Q: Bear Creek Golf Center reported actual operating income for the current year as $66,000. The…

A: A flexible budget is a that budget which includes all the flexibility and change in the output. In…

Q: The following information relates to a given department of Mervi Company for the first quarter of…

A: Variable cost is the corporate expense that changes in proportion to how much a company produces or…

Q: units The master budget at Western Company last period called for sales of 226, at $10.00 each. The…

A: Profit variance is the difference between actual profit and budgeted profit Sales ariance is…

Q: Spiral Company’s budgeted fixed factory overhead cost is P50,000 per month plus a variable factory…

A: Variance analysis helps management to analyzing the reason behind the differences arises between…

Q: Assume that a company's revenue in its flexible budget is $76,000. Its actual amount of revenue is…

A: Revenue variance = Flexible revenue - Actual revenue

Q: Sanford Company original assumptions for the planning budget were: Total sales = $160,000, sale…

A: Given: Budgeted Quantity (BQ)=$160000$20=8000 unitsBudgeted Price (BP)=$20Actual Quantity (AQ)=8200…

Q: Master (Static) Budget Variance and Its Components As the new accountant for Cohen &Co., you…

A: Given, The following information that pertains to the company’s sole product is given below as,

Q: The master budget at Western Company last period called for sales of 226,000 units at $10.00 each.…

A: The question is based on the concept of Cost Accounting.

Q: Preparing a flexible budget performance report Murphy Company managers received the following…

A: Variance:   Variance refers to the difference level in the actual cost incurred and standard cost.…

Q: A company’s flexible budget for 19,000 units of production showed sales, $87,400; variable costs,…

A: Introduction:- The flexible budget is planned to change based on the level of units volume. It is…

Q: Fatchburg industries’ budgeted sales were 400 units at $200. Actual sales were 500 units at $225.…

A: Total revenue Variance  =Actual revenue  -Budgeted Revenue Actual Revenue = 225*500 = 112500…

Q: Top managers of McKnight Industries predicted 2024 sales of 15,000 units of its product at a…

A: First we can calculate each column individually. Flexible budget     Sales-14,200*8.50=…

Q: Winston Company had two products code named X and Y. The fem had the following budget for August…

A: Budgeted units sold for product "Y" = Total sales of Product Y/Selling price = 542000/50 = 10840…

Q: Preparing a flexible budget performance report Top managers of Marshall Industries predicted 2018…

A:

Q: The master budget at Western Company last period called for sales of 225,200 units at $9.20 each.…

A: Operating Profit:   The amount of profit earned by business from its business operation after…

Q: The following static budget is provided: Per unit $70 Total $1,050,000 Sales Less variable costs:…

A: Formula to determine overall volume variance.

Q: The following information relates to a given department of Mervi Company for the first quarter of…

A: 1)Calculation of the standard hours allowed for good output in this department as follows:- Total…

Q: Own sub unit of winter sport company had the following financial results last month: Monthly…

A: A budget variation seems to be an accounting phrase that refers to situations in which real expenses…

Q: The following sales were budgeted for the year:   Product A Product B Product C Demand (units)…

A: Particulars                                       Product A           Product B           Product…

Q: Do my ans. In 45 minutes otherwise I will give you downvote

A:

Q: Required information (The following information applies to the questions displayed below) Brodrick…

A: Sales - Variable cost per unit  = Contribution margin per unit. Total fixed cost will be same at…

Q: Millan Company provided you with the following data: Budgeted Fixed FOH costs $207,000; Actual FOH…

A: The Following Information Given: Where as; Actual Hours = 70,000 Hours Variable FOH Rate direct…

Q: 3. Before the year began, the following static budget was developed for the estimated sales of…

A: The following are done to evaluate the flexible budget of a company in the case of 80,000 and 90,000…

Q: Budgets Question 1. A manager had the following operating budget and achieved the actual results…

A: Please find the answers to the above questions below:

Q: Bay City Company’s fixed budget performance report for July follows. The $587,000 budgeted total…

A: Variance is calculated by measuring the difference between the actual results and the flexible…

Q: Top managers of Cole Industries predicted 2018 sales of 14,600 units of its product at a unit price…

A: Formulas:

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance. 

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.