cost management

Project Description:

10.22
static and flexible budgets, variances, information quality the photocopying department in a
community college has budgeted monthly costs at $40,000 per month plus $7 per student. normally
800 students are enrolled. during january there were 730 students (which is within the relevant
range). at the end of the month, actual fixed costs were $42,000, and variable costs were $3,650.
a. develop a static budget for photocopying costs based on 800 students.
b. calculate the january static budget variance for fixed and variable photocopying costs.
c. develop a flexible budget for the actual volume of students in january.
d. calculate the january flexible budget variance for fixed and variable photocopying costs.
e. which variance information—part (b) or (d)—is of higher quality? explain.
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Price Type: Fixed

Project Budget: $0 to $10
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