Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the budgeted and actual results of powers inc. for

The budgeted and actual results of Powers Inc. for the month of June were as...

90.2K

Verified Solution

Question

Accounting

The budgeted and actual results of Powers Inc. for the month of June were as follows. The company uses a marginal costing system. There were no opening and closing inventories.
Static Budget
Actual Results
Sales & Production
2,500 units
2,000 units
$
$
$
$
Sales
60,000
46,000
Direct materials
10,000
9,500
Direct labour
12,500
9,000
Maintenance
5,000
4,500
Depreciation
5,000
3,500
Rent & Rates
7,000
6,000
Total Costs
39,500
32,500
Profit/Loss
20,500
13,500
The following information relates to cost behaviour: Maintenance is a variable cost; Depreciation, and Rent and Rates are fixed costs.
What are the Flexible Budgets Profit/Loss, and the related Variance when compared to the Actual Results Profit?
Question 20Select one:
A.
$13,500 and $500(F)
B.
$13,500 and $500(A)
C.
$14,000 and $500(A)
D.
$14,000 and $3,500(F)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

There are two types of motivation theories; Content and Process. In your opinion does both types...

Operations Management
Q

(i) Explain why it is important to assign individuals to species. (ii) What is a species...

Biology
Q

2 4 Solve Prob 2 3 with a 10 ft b 15 fi

Basic Math
Q

Drag the appropriate factor to the missing box to factor each trinomial completely 6x 8x8...

Algebra
Q

Is there a tax credit for dependents?

Accounting
Q

The assumption that the economic activities of an entity can be divided into artificial time...

Accounting
Q

An amount is deposited for five years at 4%. If compounding occurs quarterly, then the...

Accounting
Q

On January 1,2019, as a form of executive compensation, Wadlin Corporation grants share appreciation rights...

Accounting
Q

[The following information applies to the questions displayed below.] This year Diane intends to file...

Accounting
Q

Analysis of Receivables Method At the end of the current year, Accounts Receivable has a...

Accounting
Q

In 2021, Western Transport Company entered into the treasury stock transactions clescribed below. In 2019,...

Accounting
Q

What is the present value of a 10-year bond with a $100 face value, which...

Finance