Sweet Muffins sells its muffins to restaurants and coffee houses for an average selling price of...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Sweet Muffins sells its muffins to restaurants and coffee houses for an average selling price of $31 per case. The following information relates to the budget for Sweet Muffins for this year (all figures are annual totals unless otherwise noted): 1(Click the icon to view the budget information.) During the year, Sweet Muffins actually sold 7,500 cases, resulting in total sales revenue of $240,000. Actual expenses (in total) from this year are as follows: 2(Click the icon to view the actual expenses.) Sales revenue ($31 per case) Variable operating expenses: Sweet Muffins Flexible Budget Performance Report - Sales and Operating Expenses For the Year Ended December 31 Flexible Budget Variance Packaging expense ($4 per case sold) Shipping expense ($2 per case sold) Sales commissions (5% of sales price) Fixed operating expenses: Salaries Office rent Actual 7,500 cases (1) (3) (5) (7) (9) (11) Flexible Budget Requirement Construct a flexible budget performance report for Sweet Muffins for the year. Be sure to indica whether each variance is favorable (F) or unfavorable (U). (Enter the variances as positive numi Label each variance as favorable (F) or unfavorable (U). If the variance is 0, make sure to enter A variance of zero is considered favorable.) Volume 7,500 cases Variance (2) (6) (8) (10) (12) Master Budget 6,800 cases Sales revenue ($31 per case) Variable operating expenses: Packaging expense ($4 per case sold) Shipping expense ($2 per case sold) Sales commissions (5% of sales price) Fixed operating expenses: Salaries Flexible Budget Performance Report - Sales and Operating Expenses For the Year Ended December 31 Flexible Budget Variance Office rent Depreciation Insurance expense Office Supplies expense Total operating expenses Actual 7,500 cases (1) (3) (5) (9) (11) (13) (15) (17 (19) Flexible Budget 7,500 cases Volume Variance (2) (4) (6) (8) (10) (12) (14) (16) (18) (20) Master Budget 6,800 cases Budgeted sales in cases Packaging cost per case .......$ Shipping expense per case. $ Sales commission expense... Salaries expense.. Office rent..... Depreciation..... II Insurance expense Office supplies expense.. .….. Salaries expense.. Office rent ... .…... $ $ $ $ $ Packaging cost..... .... $ Shipping expense. $ Sales commission expense . . . . . . $ $ $ $ $ $ Depreciation .... Insurance expense.. Office supplies expense ... 6,800 cases 4 2 5% of sales price 6,400 3,800 2,700 1,600 1,200 31,200 17,400 12,000 7,900 3,800 2,700 1,300 1,400 Sweet Muffins sells its muffins to restaurants and coffee houses for an average selling price of $31 per case. The following information relates to the budget for Sweet Muffins for this year (all figures are annual totals unless otherwise noted): 1(Click the icon to view the budget information.) During the year, Sweet Muffins actually sold 7,500 cases, resulting in total sales revenue of $240,000. Actual expenses (in total) from this year are as follows: 2(Click the icon to view the actual expenses.) Sales revenue ($31 per case) Variable operating expenses: Sweet Muffins Flexible Budget Performance Report - Sales and Operating Expenses For the Year Ended December 31 Flexible Budget Variance Packaging expense ($4 per case sold) Shipping expense ($2 per case sold) Sales commissions (5% of sales price) Fixed operating expenses: Salaries Office rent Actual 7,500 cases (1) (3) (5) (7) (9) (11) Flexible Budget Requirement Construct a flexible budget performance report for Sweet Muffins for the year. Be sure to indica whether each variance is favorable (F) or unfavorable (U). (Enter the variances as positive numi Label each variance as favorable (F) or unfavorable (U). If the variance is 0, make sure to enter A variance of zero is considered favorable.) Volume 7,500 cases Variance (2) (6) (8) (10) (12) Master Budget 6,800 cases Sales revenue ($31 per case) Variable operating expenses: Packaging expense ($4 per case sold) Shipping expense ($2 per case sold) Sales commissions (5% of sales price) Fixed operating expenses: Salaries Flexible Budget Performance Report - Sales and Operating Expenses For the Year Ended December 31 Flexible Budget Variance Office rent Depreciation Insurance expense Office Supplies expense Total operating expenses Actual 7,500 cases (1) (3) (5) (9) (11) (13) (15) (17 (19) Flexible Budget 7,500 cases Volume Variance (2) (4) (6) (8) (10) (12) (14) (16) (18) (20) Master Budget 6,800 cases Budgeted sales in cases Packaging cost per case .......$ Shipping expense per case. $ Sales commission expense... Salaries expense.. Office rent..... Depreciation..... II Insurance expense Office supplies expense.. .….. Salaries expense.. Office rent ... .…... $ $ $ $ $ Packaging cost..... .... $ Shipping expense. $ Sales commission expense . . . . . . $ $ $ $ $ $ Depreciation .... Insurance expense.. Office supplies expense ... 6,800 cases 4 2 5% of sales price 6,400 3,800 2,700 1,600 1,200 31,200 17,400 12,000 7,900 3,800 2,700 1,300 1,400
Expert Answer:
Answer rating: 100% (QA)
Solution Flexible Budget Performance Report Sales and Operating Expenses For the Year Ended De... View the full answer
Related Book For
Financial and Managerial Accounting
ISBN: 978-1285866307
13th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
Posted Date:
Students also viewed these accounting questions
-
In Red Deer Companys Packaging department, conversion costs are added evenly during the process, and direct materials are added at the end of the process. Spoiled units are detected upon inspection...
-
At mixing department, all materials are added at the beginning of the process. Lahore and overhead (conversion resources) are added evenly throughout the process. The following information pertains...
-
Williams Company has the following data for the Assembly Department for August. Units in process for the beginning of august 300 Units started in august 1900 Units Completed and transferred 1900...
-
Jack Hammer invests in a stock that will pay dividends of $2.00 at the end of the first year; $2.20 at the end of the second year; and $2.40 at the end of the third year. Also, he believes that at...
-
The Hershey Company is one of the worlds leading producers of chocolates, candies, and confections. It sells chocolates and candies, mints and gums, baking ingredients, toppings, and beverages....
-
Fifteen workers are assigned to a group project. The production standard calls for 500 units to be completed each hour to meet a customer's set deadline for the products. If the required units can be...
-
Reduce response of the system a. Introduce damping b. Use vibration isolator c. Add vibration absorber d. Avoid resonance
-
The following data are for Marvin Department Store. The account balances (in thousands) are for 2011. Marketing, distribution, and customer-service costs $ 37,000 Merchandise inventory, January 1,...
-
A girl at the airport rolls a ball north on a moving walkway that moves east. If the ball's speed with respect to the walkway is 0.15m/s and the walkway moves at a speed of 1.5m/s, what is the...
-
Give the general classification of each compound. (a) glyceryl tripalmitate (b) (c) (d) (e) (f) CH3(CH210 CH2 Na CH3 (CH21C (CH216-CH3 tetradecyl octadecanoate CH3 CH HoC caryophyllene (from cloves)...
-
You would like to value the stock of company XYZ. XYZ has 10 million shares outstanding. In addition to equity, the company also has 180,000 bonds. Each bond has a face value of 1,000 and trades at a...
-
a. In finance when computing expected return, sometimes Geometric mean outscores Arithmetic Mean' explain (2 MARKS) b. Explain the concept of "beta" and with the help of a diagram, show that it is...
-
You are buying a ( $ 2 0 , 0 0 0 ) boat with a down - payment of ( $ 4 , 0 0 0 ) and you finance the remaining amount with a 3 year loan at ( 7 . 8 % ) compounded weekly. ( A ) What are your weekly...
-
35. In 2005, Lee began working as a nurse anesthoist with a taxable income of $119,000. The Medicare tax was 1.45% and the Social Security tax rate was 6.2% to the maximum income of $90,000 that...
-
Jasmine is a large company which manufactures children's toys. It is a private UK limited company with a diversified shareholder base. The company has its headquarters in London, and as part of a...
-
Suppose the annual yield to maturity on a 1 year zero coupon bond is 2 %, a 2 year zero coupon bond is 3 %, and a 3 year zero coupon bond is 4 %. (a) Consider a bond of face value 10,000 that pays a...
-
An aluminum oxide component must not fail when a tensile stress of 14 MPa is applied. Determine the maximum allowable surface crack length if the surface energy of aluminum oxide is 0.90 J/m. The...
-
Three successive resonance frequencies in an organ pipe are 1310, 1834, and 2358 Hz. (a) Is the pipe closed at one end or open at both ends? (b) What is the fundamental frequency? (c) What is the...
-
The following transactions were completed by Winklevoss Inc., whose fiscal year is the calendar year: 2016 July 1. Issued $74,000,000 of 20-year, 11% callable bonds dated July 1, 2016, at a market...
-
On January 1, 2016, Hebron Company issued a $175,000, five-year, 8% installment note to Ventsam Bank. The note requires annual payments of $43,380, beginning on December 31, 2016. Journalize the...
-
Eclipse Construction Company is considering selling excess machinery with a book value of $280,000 (original cost of $400,000 less accumulated depreciation of $120,000) for $221,000, less a 5%...
-
A company with a price-earnings ratio of 14 has an earnings yield closest to: A. 7.14% B. 14.00% C. 92.86%
-
The role of the 8-K filing with the Securities and Exchange Commission is best described as to disclose: A. the annual report. B. executive compensation. C. holdings of beneficial owners.
-
Which of the following is not produced by a company to communicate its financial results? A. Schedule 13D. B. Annual report. C. 10-K statement.
Study smarter with the SolutionInn App