Tempo Company's fixed budget (based on sales of 16,000 units) folllows. Fixed Budget Sales (16,000 units $287 per unit) Costs Direct materials Direct labor Indirect materials Supervisor salary Sales commissions Shipping Administrative salaries Depreciation-Office equipment Insurance Office rent Income Required 1 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 14,000 units and 18,000 units. Complete this question by entering your answers in the tabs below. Compute total fixed costs. Total fixed costs Required 2 Required 1 Required 2 Variable costs 3,312,000 Required 3 Fixed costs Required 3 400,000 704,000 432,000 200,000 < Required 1 Complete this question by entering your answers in the tabs below. 112,000 256,000 250,000 220,000 190,000 200,000 348,000 Prepare a flexible budget at activity levels of 14,000 units and 18,000 units. Required 3 > TEMPO COMPANY Required 2 Flexible Budget Variable Amount Total Fixed per Unit Cost Flexible Budget for: Units Sales Unit Sales of of 14,000 18,000

Tempo Company's fixed budget (based on sales of 16,000 units) folllows. Fixed Budget Sales (16,000 units $287 per unit) Costs Direct materials Direct labor Indirect materials Supervisor salary Sales commissions Shipping Administrative salaries Depreciation-Office equipment Insurance Office rent Income Required 1 1. Compute total variable cost per unit. 2. Compute total fixed costs. 3. Prepare a flexible budget at activity levels of 14,000 units and 18,000 units. Complete this question by entering your answers in the tabs below. Compute total fixed costs. Total fixed costs Required 2 Required 1 Required 2 Variable costs 3,312,000 Required 3 Fixed costs Required 3 400,000 704,000 432,000 200,000 < Required 1 Complete this question by entering your answers in the tabs below. 112,000 256,000 250,000 220,000 190,000 200,000 348,000 Prepare a flexible budget at activity levels of 14,000 units and 18,000 units. Required 3 > TEMPO COMPANY Required 2 Flexible Budget Variable Amount Total Fixed per Unit Cost Flexible Budget for: Units Sales Unit Sales of of 14,000 18,000

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter9: Evaluating Variances From Standard Costs

Section: Chapter Questions

Problem 14E

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