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Refer to DCdesserts's activity$-$based flexible budget in Exhibit $11-11.$ Suppose that the company's activity in June is described as follows:

Required:

Determine the flexible budgeted cost for each item in the table below.

$2-$a$.$ Compute the variance for setup cost during the month, assuming that the actual setup cost was $$3,000.$ Use the activity$-$based

flexible budget.

$2-$b$.$ Compute the variance for setup cost during the month, assuming that the actual setup cost was $$3,000.$ Use DCdesserts's

conventional flexible budget $($Exhibit $11-3).$

Complete this question by entering your answers in the tabs below.

Determine the flexible budgeted cost for each item in the table below.

Complete this question by entering your answers in the tabs below.

Req $1$

Compute the variance for setup cost during the month, assuming that the actual setup cost was $$3,000.$ Use the activity$-$

based flexible budget.

Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter $"0"$ for no effect

$($i$.$e$.,$ zero variance$).$

Variance

Complete this question by entering your answers in the tabs below.

Compute the variance for setup cost during the month, assuming that the actual setup cost was $$3,000.$ Use DCdesserts's

conventional flexible budget.

Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter $"0"$ for no effect

$($i$.$e$.,$ zero variance$).$

Exhibit $11-11$

Activity$-$Based Flexible Budget: DCdesserts

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