Question: Be Koolsflexible budget follows. 1. Using the data from the flexible budget, develop flexible budgets for four- and nine-pool levels of output. 2. Would Be

Be Koolsflexible budget follows.

Be Koolsflexible budget follows. 1. Using the data from the flexible budget,develop flexible budgets for four- and nine-pool levels of output. 2. WouldBe Kool's managers use the flexible budgets you developed in Requirement 1for planning or for controlling? What specific insights can Be Kool's managers

1. Using the data from the flexible budget, develop flexible budgets for four- and nine-pool levels of output. 2. Would Be Kool's managers use the flexible budgets you developed in Requirement 1 for planning or for controlling? What specific insights can Be Kool's managers gain from the flexible budgets you prepared in Requirement 1?Flexible Budget Be Kool Pools Flexible Budget Month Ended June 30 Output Units (Pools Installed) Flexible Budget per Output Unit 5 8 11 Sales revenue 10,000 50,000 $ 80,000 110,000 Variable expenses 5,000 (25,000) (40,000) (55,000) Fixed expenses (25,000) (25,000) (25,000) Total expenses (50,000) (65,000) (80,000) 0 15,000 30,000 Operating income Be Kool's relevant range is 0 to 11 pools.Be Kool Pools Flexible Budget Month Ended June 30 Output Units (Pools Installed) Flexible Budget per Output Unit 4 Pools 9 Pools Sales revenue $ 10,000 Variable expenses 5,000 Fixed expenses Total expenses Operating income (loss)2. Would Be Kool's managers use the flexible budgets you developed in Requirement 1 for planning or for controlling? Because the 4-pool and 9-pool output levels are levels of sales, these flexible budgets are being developed V the period to help Be Kool's managers What specific insights can Be Kool's managers gain from the flexible budgets you prepared in Requirement 1? (Enter the number of pools as a numerical number.) The flexible budget for pools signals the danger of a Be Kool managers should devote effort to ensure that Be Kool sells pools

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!