North Company has completed all of its operating budgets. The sales budget for the year shows 50,900 units and total sales of $2,445,000. The total unit cost of making one unit of sales is $23. Selling and administrative expenses are expected to be $303,200. Income taxes are estimated to be $291,330.

Prepare a budgeted income statement for the year ending December 31, 2014.

NORTH COMPANY
Budgeted Income Statement
For the Year Ending December 31, 2014

Question: Cyber Construction's manufacturing costs for August when production was 1,000 units appear below:

Direct material $12 per unit
Direct labor $7,500
Variable overhead 6,000
Factory depreciation 9,000
Factory supervisory salaries 7,800
Other fixed factory costs 2,500

Compute the flexible budget manufacturing cost amount for a month when 900 units are produced.

Flexible Budget Manufacturing Cost:

Question: Micro Miller Company's budgeted sales for April were estimated at $700,000, sales commissions at 4% of sales, and the sales manager's salary at $80,000. Shipping expenses were estimated at 1% of sales and miscellaneous selling expenses were estimated at $1,000, plus 0.5% of sales.

Determine the budgeted selling expenses on a flexible budget for April.

Question: Point, Inc. produces men's shirts. The following budgeted and actual amounts are for 2013:

Prepare a performance report for Point, Inc. for the year:

Question: Clark Company's master budget reflects budgeted sales information for the month of June, 2013, as follows:

Budgeted Quantity Budgeted Unit Sales Price

Product A 40,000 $7

Product B 48,000 $9

During June, the company actually sold 39,000 units of Product A at an average unit price of $7.10 and 49,600 units of Product B at an average unit price of $8.90.

Prepare a Sales Budget Report for the month of June for Clark Company which shows whether the company achieved its planned objectives.

Question: Beal Manufacturing Co.'s static budget at 12,000 units of production includes $72,000 for direct labor and $12,000 for direct materials. Total fixed costs are $48,000.

(a) Determine how much would appear on Beal's flexible budget for 2013 if 18,000 units are produced and sold.

Question: Sonic, Inc. is planning to produce 2,500 units of product in 2013. Each unit requires 3 pounds of materials at $6 per pound and a half hour of labor at $16 per hour. The overhead rate is 75% of direct labor.

Compute the budgeted amounts for 2013 for direct materials to be used, direct labor, and applied overhead

Direct Materials:
Direct Labor:
Overhead:

Compute the standard cost of one unit of product.

Question:

In October, Glazier Inc. reports 42,000 actual direct labor hours, and it incurs $194,000 of manufacturing overhead costs. Standard hours allowed for the work done is 40,000 hours. The flexible manufacturing overhead budget shows that budgeted costs are $3.80 variable per direct labor hour and $60,000 fixed.

Compute the manufacturing overhead controllable variance. Identify whether the variance is favorable or unfavorable:

Total manufacturing overhead controllable variance:

Question: Riggins, Inc. manufactures one product called tybos. The company uses a standard cost system and sells each tybo for $8. At the start of monthly production, Riggins estimated 9,500 tybos would be produced in March. Riggins has established the following material and labor standards to produce one tybo:

Standard Quantity Standard Price

Direct materials 2.5 pounds $3 per pound

Direct labor 0.6 hours $10 per hour

During March 2013, the following activity was recorded by the company relating to the production of tybos:

1. The company produced 9,000 units during the month.

2. A total of 24,000 pounds of materials were purchased at a cost of $66,000.

3. A total of 24,000 pounds of materials were used in production.

4. 5,000 hours of labor were incurred during the month at a total wage cost of $55,000.

Calculate the following variances for March for Riggins, Inc.. Identify whether the variance is favorable or unfavorable?

(a) Materials Price Variance
(b) Materials Quantity Variance
(c) Labor Price Variance
(d) Labor Quantity Variance

Question: Fill in the appropriate amounts in the following Adam Corporation variance report. (Round actual and standard price to 2 decimal places, e.g. 52.75.)