21 01:47:28 Arrasmith Corporation uses customers served as its measure of activity. During February, the company...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
21 01:47:28 Arrasmith Corporation uses customers served as its measure of activity. During February, the company budgeted for 36,400 customers, but actually served 27,600 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served: Revenue: $4.90q Wages and salaries: $34,600 +$1.52q Supplies: $0.92q Insurance: $11,800 Miscellaneous expenses: $7,800 + $0.44q The company reported the following actual results for February: Revenue Wages and salaries Supplies Insurance Miscellaneous expense Required: $ 147,800 $ 69,400 $ 15,800 $ 11,800 $ 24,700 Prepare the company's flexible budget performance report for February. Label each variance as favorable (F) or unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Arrasmith Corporation Flexible Budget Performance Report For the Month Ended February 28 Actual Results Revenue and Spending Variances Flexible Budget Activity Variances Planning Budget Customers served 27,600 27,600 36,400 Revenue $ 147,800 Expenses: Wages and salaries Supplies Insurance Miscellaneous expense Total expense Net operating income 21 01:47:28 Arrasmith Corporation uses customers served as its measure of activity. During February, the company budgeted for 36,400 customers, but actually served 27,600 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served: Revenue: $4.90q Wages and salaries: $34,600 +$1.52q Supplies: $0.92q Insurance: $11,800 Miscellaneous expenses: $7,800 + $0.44q The company reported the following actual results for February: Revenue Wages and salaries Supplies Insurance Miscellaneous expense Required: $ 147,800 $ 69,400 $ 15,800 $ 11,800 $ 24,700 Prepare the company's flexible budget performance report for February. Label each variance as favorable (F) or unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Arrasmith Corporation Flexible Budget Performance Report For the Month Ended February 28 Actual Results Revenue and Spending Variances Flexible Budget Activity Variances Planning Budget Customers served 27,600 27,600 36,400 Revenue $ 147,800 Expenses: Wages and salaries Supplies Insurance Miscellaneous expense Total expense Net operating income
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
[10 marks] Click the link below to see the code for a program. Your task is as in assignment 3: re-write the code of this program so that, to a user of the program, it works as before, but in your...
-
Selected information taken from the financial statements of Fordstar Co. for the year ended December 31, 2010, follows: Net cash provided by operations . . . . . . . . . . . . . . . . . . . . . . . ....
-
Name the type of contingency table (2 2, 4 6, etc.), the minimum sample size required, the chisquare statistic, and effect size statistic (if the chi-square is significant) that are most...
-
Should family members serve on the same board?
-
Brooks Enterprises has never paid a dividend. Free cash flow is projected to be $80,000 and $100,000 for the next 2 years, respectively; after the second year, FCF is expected to grow at a constant...
-
What are some ways a good purchaser would be able to lower cost/unit? 2. What are other factors (besides unit cost) which affect the total cost? 3. For each response to question #1 - describe how...
-
The goal of a persuasive speech is to influence the attitudes, beliefs, values and acts of others. An important element of persuasive speaking is the ability to anticipate and address audience...
-
Solve for w. -38 5w-3 Simplify your answer as much as possible. W = 0
-
y = 36x + 25 b) Find the maxima and minima of 173-20
-
You are the chief risk officer (CRO) of an agricultural corporation. You expect to sell 100M bushels of corn in September. You are concerned about changing prices. You are considering three...
-
Forex bid and offer quotes by JOE BANK: NOK/ZAR BID:0.5606 & Offer:0.5672 (ZAR is the base currency) EUR/USD BID:0.9103 & OFFER:0.9168 (USD is the base currency) NOK/JPY BID: 0.0685 & OFFER:0.0725...
-
Find the surface area of the part of the paraboloid z = 2x+2y2 that lies under the plane z=16.
-
1) Compute the market potential (SAM) for this new product based on the information provided in the case. 2) Apply the ATAR model to determine the sales revenue from the Trial 3) Apply the ATAR model...
-
Using a graphing utility, graph y = cot -1 x.
-
Determine the total estimated cost at completion and estimated cost to complete for the project in Problem 13, assuming the CPI remains the same through the remainder of the job. Data From Problem...
-
Create a cost-loaded spreadsheet like the one shown in Figure 7-5 . The spreadsheet should handle 12 weeks and 20 tasks. Data From Figure 7-5 Task Mobilization Cost Start Finish Week 1 Week 2 Week 3...
-
The following selected ledger accounts of the Lakewood Manufacturing Company are for May (the fifth month of its accounting year): Required a. Determine the amount of indirect materials requisitioned...
Study smarter with the SolutionInn App