Please solve it ASAP with all requirements Q.7. Toews Ltd has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. £ Sales 250,000 Direct material 75,000 Direct labour 60,000 Variable overheads 30,000 Fixed overheads 45,000 Profit 22,500 If the budget is flexed to a level of activity of 10,000 units, what would the total budgeted cost be? a) £280,000 b) £265,000 c) £123,750 d) £168,750

Please solve it ASAP with all requirements Q.7. Toews Ltd has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. £ Sales 250,000 Direct material 75,000 Direct labour 60,000 Variable overheads 30,000 Fixed overheads 45,000 Profit 22,500 If the budget is flexed to a level of activity of 10,000 units, what would the total budgeted cost be? a) £280,000 b) £265,000 c) £123,750 d) £168,750

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 10CE: Coral Seas Jewelry Company makes and sells costume jewelry. For the coming year, Coral Seas expects...

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Coral Seas Jewelry Company makes and sells costume jewelry. For the coming year, Coral Seas expects sales of 15.9 million and cost of goods sold of 8.75 million. Advertising is a key part of Coral Seas business strategy, and total marketing expense for the year is budgeted at 2.8 million. Total administrative expenses are expected to be 675,000. Coral Seas has no interest expense. Income taxes are paid at the rate of 40 percent of operating income. Required: 1. Construct a budgeted income statement for Coral Seas Jewelry Company for the coming year. 2. What if Coral Seas had interest payments of 500,000 during the year? What effect would that have on operating income? On income before taxes? On net income?
Dakota Co. has prepared the following flexible budget for the coming year. The budgeted level of activity is 5,000 units. Sales 125,000Direct material 37,5000Direct Labour 30,000Variable overheads 15,000Fixed overheads 20,000Profit 22,500 SalesDirect material Direct labour Variable overheads Fixed overheads Profit If the budget is flexed to a level of activity of costs be? a) £102,500 b) £110,000 c) £143,750 d) £126,000
Toews Ltd has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. SalesDirect material Direct labour Variable overheads Fixed overheads Profit If the budget is flexed to a level of budgeted cost be? a) £280,000 b) £265,000 c) £123,750 d) £168,750 £ 250,000 75,000 60,000 30,000 45,000 22,500 activity of 10,000 units, what would the total
Dakota Co. has prepared the following flexible budget for the coming year. The budgeted level of activity is 5,000 units. SalesDirect material Direct labour Variable overheads Fixed overheads Profit £ 125,000 37,500 30,000 15,000 20,000 22,500 If the budget is flexed to a level of activity of 7,500 units, what would be the budgeted total costs be? a) £102,500 b) £110,000 c) £143,750 d) £126,000
Canucks plc has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. SalesDirect material Direct labour Variable overheads Fixed overheads Profit £ 250,000 75,000 60,000 30,000 45,000 22,500 If the budget is flexed to a level of activity of 10,000 units, what would the total budgeted cost be? a) £265,000 b) £280,000 c) £123,750 d) £168,750
7. Toews Ltd has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. Sales 250,000 75,000 60,000 30,000 45,000 22,500 Direct material Direct labour Variable overheads Fixed overheads Profit If the budget is flexed to a level of activity of 10,000 units, what would the total budgeted cost be? a) £280,000 b) £265,000 c) £123,750 d) £168,750
Bizet plc has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. Sales 250000 Direct material 75000 Direct labour. 60000 Variable overheads 30000 Fixed overheads. 45000 Profit. 20000 If the budget is flexed to a level of activity of 10,000 units, what would the total budgeted cost be? a) $280000 b) $123750 c) $265000 d) $168750
The Management Accountant of Kafululu Plc has prepared the following budget information for theyear ending 31st December 2022 for product A. Annual Fixed Costs K270,000.00 Variable costs per unit K90.00 Contribution to sales ratio(C/S) 75% Annual budget units 1,500 Required:a) Calculate the contribution per unit for Product A. b) Calculate the Unit Selling Price for Product A. c) Calculate the Break Even Point for Product A. d) Calculate the margin of safety in Units and in percentage terms. e) If the Selling Price per Unit is reduced by 10%, variable cost per Unit is increased to K100.00and Fixed costs remain unchanged, calculate:i. The new Breakeven Point. ii. The total units that should be sold in order to make a profit of K450,000 in 2020.(
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Apparelle Co. developed the following equation to predict certain components of its budget for the coming period: Costs = $50,000 + ($5 x direct labor hours) The $5 would approximate:a. total costb. direct labor rate per hourc. fixed cost per direct labor hourd. variable costs per direct labor hour
Fee Ltd makes four products, A, B, C and D, and has produced the following budgeted figures for the forthcoming period:A B C DDemand (units) 4,000 1,000 1,800 1,500Income K 40,000 20,000 27,000 38,400 Costs KMaterial 12,000 8,000 12,000 12,000Labour 12,000 6,000 8,000 15,000Variable Overhead 2,000 1,000 1,700 2,400Fixed Overhead 6,000 4,000 5,000 6,000Labour is paid at K10 per hour and is limited to 3,800 hours for the period. Materials are bought at K20 per kg and 2400 kgs of material is available.Required:(a) Find the limiting factor if the company wishes to produce the budgeted units as above. (b) Calculate and determine the order of profitability. (c) Calculate the production mix that will maximize profit for the period and the profit that will result if that mix is produced. (d) Calculate the increase in profit if an extra 150 units of the limiting factor are made available.
Arberg Company’s controller prepared the following budgeted income statement for the coming year: Sales $417,000 Variable cost 287,730 Contribution margin $129,270 Fixed cost 75,950 Operating income $53,320 2. Suppose Arberg’s actual revenues are $29,900 more than budgeted. By how much will operating income increase?