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Business, 29.07.2020 03:01 justkevin1231

Brodrick Company expects to produce 21,400 units for the year ending December 31. A flexible budget for 21,400 units of production reflects sales of $470,800; variable costs of $64,200; and fixed costs of $141,000. If the company instead expects to produce and sell 27,000 units for the year, calculate the expected level of income from operation
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---Flexible Budget--- ---Flexible Budget at---
Variable Amount Total Fixed 21,400 27,000
per Unit Cost units units
Sales $ 22.00 $ 470,800 $ 594 000
Variable cos! 3.00 64,200 81,000
Contribution margin $ 1900 $ 406,600 $ 513.000
Fixed costs 141,000
Income from operations $ 406,600 $ 513,000

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Brodrick Company expects to produce 21,400 units for the year ending December 31. A flexible budget...

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