At the end of the recent fiscal year, Swifty Bakery was comparing its budgeted costs to...

  

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At the end of the recent fiscal year, Swifty Bakery was comparing its budgeted costs to its allocated costs for all of its key activities (not including direct materials and direct labor) as follows. Activity Manufacturing overhead Purchasing and receiving Selling Administration Key Activity Manufacturing overhead Purchasing and receiving Budgeted Cost Allocations were made to its different product lines. Selling $404,000 46,000 Administration 121,000 107,000 Allocated Cost Calculate the percentage over-or underbudget these allocations reflect. (Round answer to 2 decimal places, e.g. 15.25%. Enter underbudget percentages using either a negative sign preceding the number e.g. -45.25% or parentheses e.g. (45.25) %. Do not leave any answer field blank. Enter O for percentages.) $391,000 Over/(under) Budget 56,000 108,000 107,000 Number of employees % % Cost Driver % Direct labor hours Number of orders placed Percentage of sales revenue % What does this analysis suggest about the capacity being utilized for each of these key activities? The company is available resources. At the end of the recent fiscal year, Swifty Bakery was comparing its budgeted costs to its allocated costs for all of its key activities (not including direct materials and direct labor) as follows. Activity Manufacturing overhead Purchasing and receiving Selling Administration Key Activity Manufacturing overhead Purchasing and receiving Budgeted Cost Allocations were made to its different product lines. Selling $404,000 46,000 Administration 121,000 107,000 Allocated Cost Calculate the percentage over-or underbudget these allocations reflect. (Round answer to 2 decimal places, e.g. 15.25%. Enter underbudget percentages using either a negative sign preceding the number e.g. -45.25% or parentheses e.g. (45.25) %. Do not leave any answer field blank. Enter O for percentages.) $391,000 Over/(under) Budget 56,000 108,000 107,000 Number of employees % % Cost Driver % Direct labor hours Number of orders placed Percentage of sales revenue % What does this analysis suggest about the capacity being utilized for each of these key activities? The company is available resources.

Answer rating: 100% (QA)

To calculate the percentage over or underbudget for each activity we need to use the following formu... View the full answer