BUDGETING
This assignment consists of three independent scenarios for which computations should be shown.
Scenario A
Skaters, Inc. plans to sell 90,000 skateboards next quarter at a price of $36 per unit. Production costs are $14.40 per unit. Selling and administrative expenses are: variable, $7.20 per unit; and fixed, $604,800 per quarter. What are the budgeted earnings for next quarter? (Do not consider federal income taxes.)
Show the analysis in a table format. Write a one-paragraph interpretation of the information presented in the table.
Scenario B
Speedy Delivery currently delivers packages for $9 each. The variable cost is $3 per package, and fixed costs are $60,000 per month. Prepare a budget showing the expected current profit and profit after the changes in costs.
- Fixed costs are increased to $75,000.
- Selling price is increased by 10%.
- Variable cost is increased to $4.50 per unit.
- Show the analysis in a table format. Write a one-paragraph interpretation of the information presented in the table.
Show the analysis in a table format. Write a one-paragraph interpretation of the information presented in the table.
Scenario C
Houston Corporation considers materials and labor to be completely variable costs. Expected production for the year is 50,000 units. At that level of production, direct materials cost is budgeted at $198,000, and direct labor cost is budgeted at $450,000.
- Prepare a flexible budget for materials and labor for possible production levels of 55,000 and 65,000 units of product.
- Assume that in the previous exercise the actual production was 60,000 units, materials cost was $247,000, and labor cost was $510,000. Compute the budget variances. Denote variances as favorable (F) or unfavorable (U).
SLP Assignment Expectations
Show computations in good format and explain answers as required. Excel is a great tool to make computations and present financial information in an easy to understand format. Write comments below the computations in Excel
GET SOLUTION BELOW
TO BE RE-WRITTEN FROM THE SCRATCH
- Original and non-plagiarized custom papers. Our writers develop their writing from scratch unless you request them to rewrite, edit or proofread your paper.
- Timely Delivery. capitalessaywriting.com believes in beating the deadlines that our customers have imposed because we understand how important it is.
- Customer satisfaction. Customer satisfaction. We have an outstanding customer care team that is always ready and willing to listen to you, collect your instructions and make sure that your custom writing needs are satisfied
- Privacy and safety. It’s secure to place an order at capitalessaywriting.com We won’t reveal your private information to anyone else.
- Writing services provided by experts. Looking for expert essay writers, thesis and dissertation writers, personal statement writers, or writers to provide any other kind of custom writing service?
- Enjoy our bonus services. You can make a free inquiry before placing and your order and paying this way, you know just how much you will pay. A verdict was rendered against three parent chaperones. How was the third parent included in the case?
- Premium papers. We provide the highest quality papers in the writing industry. Our company only employs specialized professional writers who take pride in satisfying the needs of our huge client base by offering them premium writing services Skaters, Inc. plans to sell 90,000 skateboards next quarter at a price of $36 per unit.
Get Professionally Written Papers From The Writing Experts