Cherokee Manufacturing Company established the following standard price and cost data.
Sales price
Variable manufacturing cost
Fixed manufacturing cost
Fixed selling and administrative cost
$12.00 per unit
$ 7.20 per unit
$3,600 total
$1,200 total
Cherokee planned to produce and sell 2,000 units. Actual production and sales amounted to 2,200 units.
Required
a. Determine the sales and variable cost volume variances.
b. Classify the variances as favorable (F) or unfavorable (U).
d. Determine the amount of fixed cost that will appear in the flexible budget.
e. Determine the fixed cost per unit based on planned activity and the fixed cost per unit based on actual activity.
Answer is not complete.