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A company produces trays of pre-prepared meals that are sold to restaurants and food retailers. Three varieties of meals are sold: economy, premium and deluxe.
Calculate, for the original budget, the budgeted fixed overhead costs, the budgeted variable overhead cost per tray and the budgeted total overheads costs.
A. Original budget contribution = $162 000, Flexed budget contribution = $ 178 200, Actual Contribution
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B. Original budget contribution = $272 000, Flexed budget contribution = $ 248 200, Actual Contribution
$ 321 960
C. Original budget contribution = $242 000, Flexed budget contribution = $ 148 200, Actual Contribution
$ 121 960
D. Original budget contribution = $172 000, Flexed budget contribution = $ 148 200, Actual Contribution
$ 221 960
Answer: A
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