Allard Manufacturing Company established the following standard price and cost data. Sales price Variable manufacturing cost Fixed manufacturing cost Fixed selling and administrative cost per unit $8.70 $3.40 per unit $2,000 total $ 900 total Allard planned to produce and sell 2,900 units. Actual production and sales amounted to 3,100 units. Required a. Prepare the pro forma income statement in contribution format that would appear in a master budget.
Allard Manufacturing Company established the following standard price and cost data. Sales price Variable manufacturing cost Fixed manufacturing cost Fixed selling and administrative cost per unit $8.70 $3.40 per unit $2,000 total $ 900 total Allard planned to produce and sell 2,900 units. Actual production and sales amounted to 3,100 units. Required a. Prepare the pro forma income statement in contribution format that would appear in a master budget.
Cornerstones of Cost Management (Cornerstones Series)
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ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
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Chapter12: Activity-based Management
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Problem 1CE: Cicleta Manufacturing has four activities: receiving materials, assembly, expediting products, and...
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Transcribed Image Text:ALLARD MANUFACTURING COMPANY
Pro Forma Income Statement
Master Budget
2,900 Units
$
0
b. Prepare the pro forma income statement in contribution format that would appear in a
flexible budget.
b. Prepare the pro forma income statement in contribution format that would appear in a
flexible budget.
ALLARD MANUFACTURING COMPANY
Pro Forma Income Statement
Flexible Budget
3,100 Units
0
Transcribed Image Text:Allard Manufacturing Company established the following standard price and cost data.
Sales price
Variable manufacturing cost
Fixed manufacturing cost
Fixed selling and
administrative cost
$ 8.70 Per
unit
per
$3.40, unit
$2,000 total
$ 900 total
Allard planned to produce and sell 2,900 units. Actual production and sales
amounted to 3,100 units.
Required
a. Prepare the pro forma income statement in contribution format that would appear in a
master budget.
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