1. Based on predicted production of 25,900 units, a company anticipates $400,000

Question

1. Based on predicted production of 25,900 units, a company anticipates $400,000 of fixed costs and $492,100 of variable costs. If the company actually produces 19,800 units, what are the flexible budget amounts of fixed and variable costs?

2. SBD Phone Company sells its waterproof phone case for $90 per unit. Fixed costs total $194,400, and variable costs are $36 per unit.

------Flexible Budget------ ------Flexible Budget at ------ Variable Amount per Unit Total Fixed Cost 25,900 units 19,800 units Total budgeted costs

Explanation / Answer

what are the flexible budget amounts of fixed and variable costs?

2)

------Flexible Budget------ ------Flexible Budget at ------ Variable Amount per Unit Total Fixed Cost 25,900 units 19,800 units Variable cost per unit 19 492100 376200 Fixed cost 400000 400000 400000 Total budgeted costs 19 400000 892100 776200

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