Top Posters
Since Sunday
T
3
s
3
o
3
G
3
k
3
C
3
a
3
K
3
f
3
j
3
b
3
c
3
Home Q & A Board Other Fields Homework Help Business Accounting
New Topic  
emily8694 emily8694
wrote...
Go to Answer
Posts: 332
Rep: 18 0
6 years ago
The actual information pertains to the third quarter. As part of the budgeting process, the Duck Decoy Department of Paralith Incorporated had developed the following static budget for the third quarter. Duck Decoy is in the process of preparing the flexible budget and understanding the results.

ActualFlexibleStatic
ResultsBudgetBudget
Sales volume (in units)11,00010,000

Sales revenues$238,000$$230,000
Variable costs150,000$ ________180,000

Contribution margin88,000$50,000

Fixed costs36,000$ ________35,000
Operating profit$ 52,000$ $ 15,000

The primary reason for high actual operating profits was ________.
A) the variable-cost variance
B) increased fixed costs
C) flexible budget variance for revenues
D) lower sales volume than planned
Read 54 times
4 Replies
Replies
Answer verified by a subject expert
kristinwilliamskristinwilliams
wrote...
#1
Posts: 206
Rep: 58 0
6 years ago
Sign in or Sign up in seconds to unlock everything for free
1

Related Topics

emily8694 Author
wrote...
#2
6 years ago
Ready for finals now Monkey
wrote...
#3
6 years ago
Good luck my friend!
wrote...
#4
3 years ago
thanks
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1118 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 285
  
 426
  
 441
Your Opinion
Which industry do you think artificial intelligence (AI) will impact the most?
Votes: 405
Previous poll results: Which country would you like to visit for its food?