(Solved) Tyson's Hardware, a retailing company with several locations, anticipated that it would have 96,000 ...

Tyson's Hardware, a retailing company with several locations, anticipated that it would have 96,000 sales units for 664 customer shipments. Average storage bin usage for various inventories was estimated to be 200 storage bins per day. The costs and cost drivers were determined to be as follows:

   Cost Item   Fixed Portion   Variable Cost/Driver
Product handling   $10,000   $1.25 per 100 units
Storage      3.00 per storage bin
Utilities   1,000   1.50 per 100 units
Shipping clerks   1,000   1.00 per shipment
Supplies      0.50 per shipment

During the year the warehouse processed 90,000 units for 600 customer shipments. The workers used 225 storage bins on average each day to sort, store, and process goods for shipment. The actual costs for were:

   Cost Item   Actual costs
Product handling   $10,900
Storage   465
Utilities   2,020
Shipping clerks   1,400
Supplies   340

Required:
a.   Prepare a static-budget and show the static-budget variances for each cost item and the total static-budget variance.
b.   Prepare a flexible-budget and show the flexible-budget variances for each cost item and the total flexible-budget variance.

Home Search Q & A Board Gallery Resource Library Blog Dictionary Chat	Quick Links Start a Topic Latest Topics Unanswered Questions Courses Study Tools Browse by Textbook	Social Facebook YouTube Community Stats Who's Online Trending Staff	Help About Us Take the Tour Study Tips Posting Guidelines Terms and Policies Contact Us
Biology Forums - Study Force © 2010-2024 \| Powered by SMF \| SMF © 2015, Simple Machines \| Sitemap Biology-Forums.com is not affiliated with any publisher. Book covers, title and author names appear for reference only.

Tyson's Hardware, a retailing company with several locations, anticipated that it would have 96,000 ...

Cost Accounting: A Managerial Emphasis, Canadian Edition

Related Topics