Question: Sound Beginnings manufactures hearing aid devices For January Sound Beginnings
Sound Beginnings manufactures hearing aid devices. For January, Sound Beginnings expects to sell 600 hearing aid devices at an average price of $2,300 per unit. Sound Beginnings’ average manufacturing cost of each unit sold is $1,400. Variable operating expenses for Sound Beginnings will be $1.50 per unit sold and fixed operating expenses are expected to be $7,500 for the month. Monthly interest expense is $3,700. Sound Beginnings has a tax rate of 30% of income before taxes. Prepare Sound Beginnings’ budgeted income statement for January.
Answer to relevant QuestionsDescribe the product that is being produced. Briefly outline the production process. How is the flexible budget variance calculated? What does it measure? Who within the organization is typically held responsible for the flexible budget variance? Refer to the Weber’s Data Set above. 1. Compute the direct materials efficiency variance for buns, hamburger patties, and pickle slices. 2. As a manager, what would you learn from the variances and supporting data? Logiclik sells its main product, ergonomic mouse pads, for $11 each. Its variable cost is $5 per pad. Fixed expenses are $200,000 per month for volumes up to 60,000 pads. Above 60,000 pads, monthly fixed expenses are ...The following direct materials variance computations are incomplete: Price variance = ($? − $10) × 9,600 kg = $4,800 U Efficiency variance = (? − 10,400 kg) × $10 =? F Flexible budget variance = $? Requirement Fill in ...
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