Blossom, Inc. prepared the following master budget items for July Production and

Question

Blossom, Inc. prepared the following master budget items for July Production and sales Variable manufacturing costs 30,000 units Direct materials Direct labor Variable manufacturing overhead 30,000 S 60,000 S 60,000 180,000 $330,000 Fixed manufacturing costs Total manufacturing costs During July, Blossom actually sold 36,000 units. Prepare a flexible budget for Blossom based on actual sales. (Do not round your intermediate calculations.) Production and Sales Units Variable Manufacturing Costs Direct Materials Direct Labor Variable Manufacturing Overhead Fixed Manufacturing Costs Total Manufacturing Costs

Explanation / Answer

CALCULATION OF VARIABLE COST PER UNITS No. of units Variable Cost per unit Total Cost Variable Manufacturing Cost Direct Materials                30,000 $1.00 $30,000 Direct Labours                30,000 $2.00 $60,000 Variable Manufacturing Overhead                30,000 $2.00 $60,000 FLEXIBLE BUDGET FOR THE 36000 Units PARTICULARS No. of units Variable Cost per unit Total Cost Production and Sales                 36,000 Units Less: Variable Expenses Direct Materials                36,000 $1.00 $36,000 Direct Labours                36,000 $2.00 $72,000 Variable Manufacturing Overhead                36,000 $2.00 $72,000 Total Variable Expesnes $1,80,000 Less: Fixed Expenses Fixed Manufacturing Cost $1,80,000 Total Manufacturing Cost $3,60,000

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

---