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Problem 16-51 (Algo) Solve for Master Budget Given Actual Results (LO 16-2,4) A new accounting intern at Gibson Corporation lost the only copy of this period's master budget. The CFO wants to evaluate performance for this period but needs the master budget to do so. Actual results for the period follow. Sales volume Sales revenue Variable coat Kanutacturing Marketing and administrative Contribution margin Tixed conta Manufacturing Marketing and administrative Operating profit 140,000 unito 6784.000 172,480 10,560 $540,966 220,400 113,200 5204.860 The company planned to produce and sell 116,200 units for $5.00 each. At that volume, the contribution margin would have been $406700, Variable marketing and administrative costs are budgeted at 10 percent of sales revenue Manufacturing fixed costs are estimated at $2.00 per unit at the normal volume of 116,200 units. Management notes, "We budget an operating profit of $1.00 per unit at the normal volume." Required: a. Construct the master budget for the period b. Prepare a profit variance analysis Complete this question by entering your answers in the tabs below. Required A Required Construct the master budget for the period. (Do not round intermediate calculations.) GIBBON CORPORATION Waste Budget un Dales von Baie menu Marutacturing Marketing and admire Cortomarin Manufacturing Regard A new accounting intern at Gibson Corporation lost the only copy of this periods master budget. The CFO wants to evaluate performance for this period but needs the master budget to do so. Actual results for the period follow. Sales volume Sales revenue Variable et Mantering Making and Administrative Contribution margin Thaai Manufacturing Marketing and strative Operating profit 145.900 units $70,000 172,400 70,560 3549,900 220,400 215200 3204.60 The company planned to produce and sell 116,200 units for $5.00 each. At the volume, the contribution margin would have been $406.700. Variable marketing and administrative costs are budgeted at 10 percent of sales revenue Manufacturing fed costs are estimated $2.00 per unit at the normal volume of 116.200 units Management notes, "We budget an operating profit of $100 per unit at the normal volume." Required a. Construct the master budget for the period b. Prepare a profit variance analysis Complete this question by entering your answers in the tabs below. Repared Prepare a profit variance analysis (Do not found internet calculations. Indeed of avancerade for unfavorable. If there is no effect there SON CORPORATION Prof Variant Analys Hanked Manufacturing Value Advadende Das Valance Budget We Are Wel Dnes 1 784.000 Manufacturing 172.489 70.560 540.000 5 Cotton marga Mandung Marting and dative Opring to 220400 115.700 204.660 (Required A new accounting Intern at Gibson Corporation fost the only copy of this periods master budget. The CFO wants to evaluate performance for this period but needs the master budget to do so. Actual results for the period follow. Sales vol Heles cevenue Variable conta Manufacturing Marketing and administrative Contribution margin Fixed Cont Manufacturing Marketing and administrative Operating profit 140,000 units $784,000 172,480 70/560 540,960 220,400 115.100 $204,860 The company planned to produce and sell 116,200 units for $5.00 each. At that volume, the contribution margin would have been $406,700. Variable marketing and administrative costs are budgeted at 10 percent of sales revenue Manufacturing fixed costs are estimated at $2.00 per unit at the normal volume of 116,200 units. Management notes: "We budget an operating profit of $100 per unit at the normal volume." Required: a. Construct the master budget for the period. b. Prepare a profit variance analysis. Complete this question by entering your answers in the tabs below. Required A Required B Construct the master budget for the period. (Do not round Intermediate calculations.) units GINSON CORPORATION Master Budget Sales volume Sales reverwe Variable costs Marutacturing Marketing and administrave Contribution margin 5 Fixed cool Manufacturing Mening and administrative Operating pront 0 0 Required b. Prepare a profit variance analysis. Complete this question by entering your answers in the tabs below. Required A Required Prepare a profit variance analysis. (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 GIBSON CORPORATION Profit Variance Analysis Actual Manufacturing Variances Marketing and Administrative Variances Sales Price Variance Flexible Budget Bales Activity Variance Master Budget $ 784000 Sales revenue Variable costs Manufacturing Marketing and administrative Contribution margin Fixed cost Maracturing Marketing and admirative Operating prom 172.450 70,560 540,960 $ 220,400 115.700 204.00 5