During april cheatam corporation budgeted for 25000


Question: During April, Cheatam Corporation budgeted for 25,000 customers, but actually served 23,000 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served:

Revenue:               $4.80q

Wages and salaries: $35,000 + $1.71q

Supplies:                $0.61q

Insurance:              $12,000

Miscellaneous expense: $5,000 + $0.11q

Required: Prepare the company's flexible budget for April based on the actual level of activity for the month.

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Accounting Basics: During april cheatam corporation budgeted for 25000
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