Flexible Budget. At normal capacity, Boulder Products Corp. manufactures 10,000 trail bikes. At that level, unit variable costs for the Assembly Department are: Direct materials.........................................................$30
Flexible Budget. At normal capacity, Boulder Products Corp. manufactures 10,000 trail bikes. At that level, unit variable costs for the Assembly Department are:
Direct materials.........................................................$30
Direct labor............................................................60
Indirect labor...........................................................30
Repairs and maintenance..................................................15
General factory expenses.................................................. 15
$................................................................. 150
Fixed expenses are $150,000 for indirect labor, $175,000 for repairs and maintenance, and $80,000 for general factory.
Required: Prepare a flexible budget for the Assembly Department at 70%, 80%, 90%, and 100% of normal capacity.
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Variable Costs Direct materials 30 per unit Direct labor 60 per unit Indirect labor 30 per unit Repa...See step-by-step solutions with expert insights and AI powered tools for academic success
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