Prepare a profit variance analysis for Savery Parts for March. Indicate the effect of each variance by selecting $"$F$"$ ?for favorable, or $"$U$"$ ?forunfavorable. If there is no effect, do not select either option. The results for March for Savery Parts follow:Required:Prepare a profit variance analysis for Savery Parts for March.Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting $"$F$"$ ?for favorable, or $"$U$"$ ?forunfavorable. If there is no effect, do not select either option.Required:Prepare a profit variance analysis for Savery Parts for March.Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting $"$F$"$ ?for favorable, or $"$U$"$ ?for unfavorable. If there is no effect, do not select either option.?

Transcribed Image Text:

d The results for March for Savery Parts follow: Actual (based on actual sales of 14,700 units) $ 263,865 Master Budget (based on budgeted sales of 17,500 units) $ 318,500 Sales revenues Less Variable costs Direct material Direct labor Variable overhead Marketing Administration Total variable costs Contribution margin Less Fixed costs Manufacturing Marketing Administration Total fixed costs Operating profits 51,520 63,100 44,102 52,300 34,103 41,200 12,204 13,100 18,191 21,400 $ 160,120 $ 191,100 $ 103,745 $ 127,400 36,460 16,802 24,506 33,000 15,000 27,000 $ 77,768 $ 75,000 $ 25,977 $ 52,400 Required: Prepare a profit variance analysis for Savery Parts for March. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. SAVERY PARTS IVI d The results for March for Savery Parts follow: Actual (based on actual sales of 14,700 units) $ 263,865 Master Budget (based on budgeted sales of 17,500 units) $ 318,500 Sales revenues Less Variable costs Direct material Direct labor Variable overhead Marketing Administration Total variable costs Contribution margin Less Fixed costs Manufacturing Marketing Administration Total fixed costs Operating profits 51,520 63,100 44,102 52,300 34,103 41,200 12,204 13,100 18,191 21,400 $ 160,120 $ 191,100 $ 103,745 $ 127,400 36,460 16,802 24,506 33,000 15,000 27,000 $ 77,768 $ 75,000 $ 25,977 $ 52,400 Required: Prepare a profit variance analysis for Savery Parts for March. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. SAVERY PARTS IVI

Answer rating: 100% (QA)

To prepare a profit variance analysis for Savery Parts for March we need to compare the actual results with the master budget Heres the analysis Profi... View the full answer