Figure 16-5 Torino, SA., Manufactures Machine Parts. Torino Has Developed a Static

Essay

Figure 16-5
Torino, SA., manufactures machine parts. Torino has developed a static budget for its plant at an activity level of 10,000 direct labour hours for the month of March. The actual level of activity was 11,000 hours. The following table summarizes the static budget and the actual costs for March:
-Klamaty, SA., is looking for feedback on performance. The company compares the budget for the year with the actual costs.
Klamaty, SA., had the following budgeted data: Required:
a.
Prepare a performance report for all costs showing static budget variances.
b.
Prepare a performance report for all costs showing flexible budget variances.