The Salt
Autor: suibian • September 23, 2017 • Course Note • 674 Words (3 Pages) • 840 Views
11-23:
Data calculate:
a 19 500 × $15.5 = $302, 250 d19 500 × $9.5 = $185, 250
b 19 500 × $18 = $351, 000 e19 500 × $10.5 = $204, 750
c 25 000 × $18 = $450, 000 f25 000 × $10.5 = $262, 500
1). Static – Budget based variance analysis: 【Level 1 Analysis】
Actual Results (1) | Static-Budget Variances (2) = (1) – (3) | Static Budget (3) | |
Units sold Revenue | 19, 500 $302, 250a | 4, 000 U $147, 750 U | 25, 000 $450, 000c |
Variable costs | 185, 250d | 77, 250 F | 262, 500f |
Contribution margin Fixed costs Operating profit | 117, 000 95, 000 $22, 000[pic 1] | 70, 500 U 10, 000 F $60, 500 U | 187, 500 105, 000 $82, 500 |
$60, 500 U
Total static-budget variance
2). Flexible – Budget based variance analysis: 【Level 2 Analysis】
Actual Results (1) | Flexible- Budget Variances (2) = (1) – (3) | Flexible Budget (3) | Sales Volume Variances (4) = (3) – (5) | Static Budget (5) | |
Units sold | 19, 500 | 0 | 19, 500 | 5, 500 U | 25, 000 |
Revenue | $302, 250a | $48, 750 U | $351, 000b | $99, 000 U | $450, 000c |
Variable costs | 185, 250d | 19, 500 F | 204, 750e | 57, 750 F | 262, 500f |
Contribution margin | 117, 000 | 29, 250 U | 146, 250 | 41, 250U | 187, 500 |
Fixed costs | 95, 000 | 10, 000 F | 105, 000 | 0 | 105, 000 |
Operating profit | $22, 000 | $19, 250 U | $41, 250 | $41, 250 U | $82, 500 |
$19, 250 F $41, 250 U[pic 2]
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