HW #10 Chapter 11 QUESTION 1

Data table F 4 Master Budget 12,200 $ 414,800 A B E 1 Old World Fudge Company 2 Flexible Budget Performance Report: Sales and Operating Expenses 3 For the Year Ended December 31 Flexible Budget Flexible Volume Actual Variance Budget Variance 5 Sales volume (number of cases sold) 13,400 13,400 6 Sales revenue (534 per case) $ 450,100 $ 455,600 7 Less variable expenses: Sales expense ($2 per case sold) $ 26,300 $ 26,800 9 Shipping expense (54 per case sold) 52,000 53,600 10 Contribution margin 371,800 375,200 11 Less fixed expenses: 12 Salaries 9,000 8,800 13 Office rent 3,000 3,000 14 Operating income $ 359,800 $363,400 8 S 24,400 48,800 341,600 8,800 3,000 $ 329,800 Print Done The following table contains a hypothetical partial master budget performance report for Old World Fudge Company. Click the icon to view the partial master budget performance report.) Fill in the missing amounts. Be sure to indicate whether variances are favorable (F) or unfavorable (U). (Enter the variances as positive numbers. Label each variance as favorable (F) or unfavorable (U). If the variance is 0, make sure to enter in a "0". A variance of zero is considered favorable.) NO Old World Fudge Company Flexible Budget Performance Report: Sales and Operating Expenses For Year Ended December 31 Flexible Flexible Budget Variance Actual Budget Volume Variance Master Budget 12,200 Sales volume (number of cases sold) 13,400 13,400 $ 450,100 $ 455,600 s 414.800 Sales revenue ($34 per case) Less variable expenses: Sales expense ($2 per case sold) Shipping expense ($4 per case sold) Contribution margin S 24,400 $ 26,300 52,000 371,800 $ 26,800 53,600 375,200 48,800 341,600