Financial And Managerial Accounting
15th Edition
ISBN: 9781337902663
Author: WARREN, Carl S.
Publisher: Cengage Learning,
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Chapter 24, Problem 1PA
GHT Tech Inc. sells electronics over the Internet. The Consumer Products Division is organized as a cost center. The budget for the Consumer Products Division for the month ended January 31 is as follows:
During January, the costs incurred in the Consumer Products Division were as follows:
Instructions
1. Prepare a budget performance report for the director of the Consumer Products Division for the month of January.
2. 
For which costs might the director be expected to request supplemental reports?
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The Eastern District of Adelson Inc. is organized as a cost center. The budget for the Eastern District of Adelson Inc. for the month ended December 31 is as follows:
Sales salaries
$819,840
System administration salaries
448,152
Customer service salaries
152,600
Billing salaries
98,760
Maintenance
271,104
Depreciation of plant and equipment
92,232
Insurance and property taxes
41,280
Total
$1,923,968
During December, the costs incurred in the Eastern District were as follows:
Sales salaries
$818,880
System administration salaries
447,720
Customer service salaries
183,120
Billing salaries
98,100
Maintenance
273,000
Depreciation of plant and equipment
92,232
Insurance and property taxes
41,400
Total
$1,954,452
Required:
1. Prepare a budget performance report for the manager of the Eastern District of Adelson for the month of December. If an amount box does not require an entry, leave it blank.
Adelson Inc.
Budget…
Budget performance report for a cost center
GHT Tech Inc. sells electronics over the Internet. The Consumer Products Division is organized as a cost
center. The budget for the Consumer Products Division for the month ended July 31 is as follows:
Line Item Description
Customer service salaries
Insurance and property taxes
Distribution salaries
Marketing salaries
Engineer salaries
836,850
586,110
185,120
Total
$4,167,050
During July, the costs incurred in the Consumer Products Division were as follows:
Warehouse wages
Equipment depreciation
Line Item Description
Customer service salaries
Insurance and property taxes
Distribution salaries
Marketing salaries
Engineer salaries
Warehouse wages
Equipment depreciation
Total
Required:
Question Content Area
Line Item Description
Customer service salaries
Insurance and property taxes
Distribution salaries
Amount
$546,840
114,660
872,340
1,025,130
1. Prepare a budget performance report for the director of the Consumer Products Division for the…
e Eastern District of Adelson Inc. is organized as a cost center. The budget for the Eastern District of Adelson Inc. for the month ended December 31 is as follows:
Sales salaries
$819,840
System administration salaries
448,152
Customer service salaries
152,600
Billing salaries
98,760
Maintenance
271,104
Depreciation of plant and equipment
92,232
Insurance and property taxes
41,280
Total
$1,923,968
During December, the costs incurred in the Eastern District were as follows:
Sales salaries
$818,880
System administration salaries
447,720
Customer service salaries
183,120
Billing salaries
98,100
Maintenance
273,000
Depreciation of plant and equipment
92,232
Insurance and property taxes
41,400
Total
$1,954,452
Required:
1. Prepare a budget performance report for the manager of the Eastern District of Adelson for the month of December. Enter all amounts as positive numbers. If an amount box does not require an entry, leave it…
Chapter 24 Solutions
Financial And Managerial Accounting
Ch. 24 - Differentiate between centralized and...Ch. 24 - Differentiate between a profit center and an...Ch. 24 - Weyerhaeuser Co. (WY) developed a system that...Ch. 24 - What is the major shortcoming of using operating...Ch. 24 - In a decentralized company in which the divisions...Ch. 24 - Prob. 6DQCh. 24 - (a) Explain how return on investment might lead a...Ch. 24 - Prob. 8DQCh. 24 - When is the negotiated price approach preferred...Ch. 24 - Prob. 10DQ
Ch. 24 - Budgetary performance for cost center Vinton...Ch. 24 - Support department allocations The centralized...Ch. 24 - Prob. 3BECh. 24 - Profit margin, investment turnover, and ROI Briggs...Ch. 24 - Residual income Obj. The Commercial Division of...Ch. 24 - Transfer pricing The materials used by the...Ch. 24 - Budget performance reports for cost centers...Ch. 24 - The following data were summarized from the...Ch. 24 - Prob. 3ECh. 24 - Prob. 4ECh. 24 - Service department charges In divisional income...Ch. 24 - Varney Corporation, a manufacturer of electronics...Ch. 24 - Horton Technology has two divisions, Consumer and...Ch. 24 - Rocky Mountain Airlines Inc. has two divisions...Ch. 24 - Championship Sports Inc. operates two divisionsthe...Ch. 24 - The operating income and the amount of invested...Ch. 24 - The operating income and the amount of invested...Ch. 24 - Prob. 12ECh. 24 - The condensed income statement for the Consumer...Ch. 24 - Prob. 14ECh. 24 - Data are presented in the following table of...Ch. 24 - Prob. 16ECh. 24 - Materials used by the Instrument Division of...Ch. 24 - Prob. 18ECh. 24 - GHT Tech Inc. sells electronics over the Internet....Ch. 24 - Profit center responsibility reporting for a...Ch. 24 - Divisional income statements and return on...Ch. 24 - Effect of proposals on divisional performance A...Ch. 24 - Divisional performance analysis and evaluation The...Ch. 24 - Prob. 6PACh. 24 - Budget performance report for a cost center The...Ch. 24 - Profit center responsibility reporting for a...Ch. 24 - Divisional income statements and return on...Ch. 24 - Effect of proposals on divisional performance A...Ch. 24 - Prob. 5PBCh. 24 - Prob. 6PBCh. 24 - Kelly Kitchens operates both franchised and...Ch. 24 - Panera Bread Company (PNRA) operates over 2,000...Ch. 24 - Papa Johns International, Inc. (PZZA), operates...Ch. 24 - Panera Bread Company (PNRA) operates over 2,000...Ch. 24 - McDonalds Corporation (MCD) operates company-owned...Ch. 24 - Prob. 1TIFCh. 24 - Prob. 2TIFCh. 24 - Communication The Norse Division of Gridiron...Ch. 24 - The three divisions of Yummy Foods are Snack...Ch. 24 - Last Resort Industries Inc. is a privately held...Ch. 24 - Sara Bellows, manager of the telecommunication...Ch. 24 - Most firms allocate corporate and other support...Ch. 24 - Prob. 3CMACh. 24 - Prob. 4CMA
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