Prepare a variance analysis report

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Question - Strauss Table Company manufacturers tables for schools.  The 2006 operating budget is based on sales of 20,000 units at $100 per table.  Operating income is anticipated to be $120,000.  Budgeted variable costs are $64 per unit, while fixed costs total $600,000.  Actual income for 2006 was a surprising $354,000 on actual sales of 21,000 units at $104 each.  Actual variable costs were $60 per unit and fixed costs totaled $570,000.

Required:  Prepare a variance analysis report with both flexible-budget and sales-volume variances.

Reference no: EM131786326

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