Purchase Solution

Johnson Swimwear Variances - Static & Flexible Budget

Not what you're looking for?

Ask Custom Question

The systems consulting department of Johnson Swimwear designs data collecting, encoding, and reporting systems to fit the needs of other departments within the company. An overall cost driver is the number of requests made to the systems consulting department. The expected variable cost of handling a request was $500, and the number if requests expected for June 2001 was 75. Johnson budgeted its monthly fixed costs for the department (salaries, equipment depreciation, space costs) at $65,000.

The actual number of requests serviced by systems consulting in June 2001 was 90, and the total costs incurred by the department was $116,000. Of that amount, $76,000 was for fixed costs.

Compute the static budget variances and the flexible-budget variances for variable and fixed costs for the systems consulting department for June 2001.

Purchase this Solution

Solution Summary

The solution prepares Static & Flexible Budget for Johnson Swimwear and calculate variance.

Purchase this Solution


Free BrainMass Quizzes
Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.

Academic Reading and Writing: Critical Thinking

Importance of Critical Thinking

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.

Balance Sheet

The Fundamental Classified Balance Sheet. What to know to make it easy.

Learning Lean

This quiz will help you understand the basic concepts of Lean.