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Home Q & A Board Other Fields Homework Help Business Economics
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ashly138 ashly138
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Posts: 686
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6 years ago
Davis Company produced 20,000 cases of beer. Machinery usage is 1.5 hours per case. Budget outputs are 22,000 cases. What are the required static budget machine hour inputs and flexible budget machine hour inputs, respectively?
A) 30,000 Machine hours, 33,000 Machine hours
B) 33,000 Machine hours, 30,000 Machine hours
C) 39,000 Machine hours, 34,000 Machine hours
D) 34,000 Machine hours, 39,000 Machine hours
E) 39,000 Machine hours, 33,000 Machine hours
Textbook 
Cost Accounting: A Managerial Emphasis, Canadian Edition

Cost Accounting: A Managerial Emphasis, Canadian Edition


Edition: 7th
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#1
6 years ago
B
Explanation:  B) SB = 22,000 × 1.50/CASE = 33,000 MH
FB = 20,000 × 1.50/CASE = 30,000 MH
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