Tech Draperies makes and sells curtains. Information related to its performance in 2020 is given below: Actual Budget Units made and sold 1,300 1,500 Seling price $220 per curtain $210 per curtain Variable costs $ 163,000 $105 per curtain Fixed costs $ 79,000 84,000 Calculate Tech Draperies' flexible-budget variance for operating income. Calculate Tech Draperies' static budget variance for operating income.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 5EB: Aspen Enterprises makes award pins for various events. Budget information regarding the current...
icon
Related questions
icon
Concept explainers
Question

Ee 06.

Tech Draperies makes and sells curtains. Information related to its performance in 2020 is given below:
Actual Budget
Units made and sold 1,300 1,500
Seling price $220 per curtain $210 per curtain
Variable costs $ 163,000 $105 per curtain
Fixed costs $ 79,000 84,000
Calculate Tech Draperies' flexible-budget variance for operating income.
Calculate Tech Draperies' static budget variance for operating income.
Transcribed Image Text:Tech Draperies makes and sells curtains. Information related to its performance in 2020 is given below: Actual Budget Units made and sold 1,300 1,500 Seling price $220 per curtain $210 per curtain Variable costs $ 163,000 $105 per curtain Fixed costs $ 79,000 84,000 Calculate Tech Draperies' flexible-budget variance for operating income. Calculate Tech Draperies' static budget variance for operating income.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps with 2 images

Blurred answer
Knowledge Booster
Budgeting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning