Problem 22-1A Responsibility accounting performance reports; controllable and budgeted costs LO P1 Billie Whitehorse, the plant manager of Travel Free's Indiana plant is responsible for all of that plant's costs other than her own salary. The plant has two operating departments and one service department. The camper and trailer operating departments manufacture different products and have their own managers. The office department, which Whitehorse also manages, provides services equally to the two operating departments. A budget is prepared for each operating department and the office department. The company's responsibility accounting system must assemble information to present budgeted and actual costs in performance reports for each operating department manager and the plant manager. Each performance report includes only those costs that a particular operating department manager can controls raw materials, wages, supplies used, and equipment depreciation. The plant manager is responsible for the department managers' salaries, utilities, building rent, office salaries other than her own, and other office costs plus all costs controlled by the two operating department managers. The annual departmental budgets and actual costs for the two operating departments follow Raw materials Employee wagen Dept, manager salary Supplies used Depreciation Equip. Utilities Building rent office department conta Totals Budget Actual Camper Trailer combined Camper Trailer Combined 5195,800 $276,800 5 472,600 $194,300 $223,400 3 467.700 105,000 206, 200 311.200 106,600 207,600 314,200 43,200 52,400 95,600 44,500 53,600 98,100 33,400 91,800 125,200 31,400 92,200 123,600 61,500 126,500 188,000 61,200 126,000 187,200 5,200 5,400 10,600 3,000 6,200 9.200 6.900 10,100 17,000 5,400 8,600 14,000 72,250 72.750 145,500 25,550 75,550 151, 100 $ 523,750 $841.950 $1,365,700 5521,950 $843,150 $1,365,100 The office department's annual budget and its actual costs follow. Problem 22-1A Responsibility accounting performance reports; controllable and budgeted costs LO P1 Billie Whitehorse, the plant manager of Travel Free's Indiana plant is responsible for all of that plant's costs other than her own salary. The plant has two operating departments and one service department. The camper and trailer operating departments manufacture different products and have their own managers. The office department, which Whitehorse also manages, provides services equally to the two operating departments. A budget is prepared for each operating department and the office department. The company's responsibility accounting system must assemble information to present budgeted and actual costs in performance reports for each operating department manager and the plant manager. Each performance report includes only those costs that a particular operating department manager can controls raw materials, wages, supplies used, and equipment depreciation. The plant manager is responsible for the department managers' salaries, utilities, building rent, office salaries other than her own, and other office costs plus all costs controlled by the two operating department managers. The annual departmental budgets and actual costs for the two operating departments follow Raw materials Employee wagen Dept, manager salary Supplies used Depreciation Equip. Utilities Building rent office department conta Totals Budget Actual Camper Trailer combined Camper Trailer Combined 5195,800 $276,800 5 472,600 $194,300 $223,400 3 467.700 105,000 206, 200 311.200 106,600 207,600 314,200 43,200 52,400 95,600 44,500 53,600 98,100 33,400 91,800 125,200 31,400 92,200 123,600 61,500 126,500 188,000 61,200 126,000 187,200 5,200 5,400 10,600 3,000 6,200 9.200 6.900 10,100 17,000 5,400 8,600 14,000 72,250 72.750 145,500 25,550 75,550 151, 100 $ 523,750 $841.950 $1,365,700 5521,950 $843,150 $1,365,100 The office department's annual budget and its actual costs follow