Page 169 - P1 Integrated Workbook STUDENT 2018

Budgeting

Example 7

If the actual level of activity for the period was 9,500 units, prepare the
flexed budget.

Solution

Activity level 9,500

Sales $95,000
Variable costs $38,000
Fixed costs $20,000

Budgeted profit $37,000

Illustrations and further practice

Now try illustration 3 from Chapter 12.

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