HPHA 5311 Chapter 8: Financial Planning & Budgeting Homework Problem 3.5 Calculate each of the following based
Question:
HPHA 5311
Chapter 8: Financial Planning & Budgeting
Homework Problem 3.5
Calculate each of the following based upon the data below:
Total Revenue
Static Budget = $1,980,000
Flexible Budget = $2,060,000
Actual Results = $2,050,000
Total Costs
Static Budget = $1,350,000
Flexible Budget = $1,675,000
Actual Results = $1,790,000
Projected Profit
Static Budget = $630,000
Flexible Budget = $1,675,000
Actual Results = $1,790,000
a. profit variance
b. revenue variance
c. cost variance
revenue variances
d. volume variance
e. price variance
cost variance
f. volume variance
g. management variance
h. Discuss the factors involved with the profit variance
i. Explain the factors contributing to the volume variance
j. Explain the factors contributing to the cost variance
Horngrens Financial and Managerial Accounting
ISBN: 978-0133866292
5th edition
Authors: Tracie L. Nobles, Brenda L. Mattison, Ella Mae Matsumura