Accounting Question

Requirement 1. Complete the performance evaluation report for the subunit. (Enter a variance for each account as a positive number and select whether the variance is favorable or unfavorable. Enter the variance percent as a percentage rounded to two decimal places, XXX%) Actual Flexible Flexible Budget % Variance Subunit x Results Budget Variance (For U) (F or U) Net Sales Revenue $ 477,000 $ 450,000 281,000 253,000 Variable Expenses % Contribution Margin $ 216,000 S 197.000 Traceable Fored Expenses 39,000 28,000 % $ 177,000 $ Divisional Segment Margin 169,000 Requirement 2. Based on the data presented and your knowledge of the company. What type of responsibility center is this subunit? This performance report includes therefore, this subunit must be , Requirement 3. Which items should be investigated if part of management's decision criteria is to investigate all variances equal to or exceeding $9,000 and exceeding 10% (both criteria must be met)? Management should investigate the following: (If an input field is not used in the table, leave the input field empty.) Requirement 4. Should only unfavorable variances be investigated? Explain. Managers should investigate Favorable expense variances Requirement 5. Is it possible that the variances are due to a higher-than-expected sales volume? Explain The flexible budget variances due to sales volume differences between budget and actual. Differences in sales volume are captured by the V. The flexible budget variance is due to Requirement 6. Will management place equal weight on each of the variances exceeding 89,000? Explain. Management will because Requirement 7. Which balanced Scorecard perspective is being addressed through this performance report? In your opinion, is this performance report a lead or a lag indicator? Explain. The performance report addresses the perspective of the balanced Scorecard, performance measures tend to be indicators. They typically . Requirement 8. List one key performance indicator for the three other balanced Scorecard perspectives. Make sure to indicate which perspective is being addressed by the indicators you list Complete the following table to identify one key performance indicator for the three other balanced Scorecard perspectives. Balanced Scorecard perspective Key performance indicator Flexible Budget Variance (F or U) % Variance (F or U) Actual Flexible Results Budget $ 477,000 S 450,000 281,000 253,000 $ 216,000 $ 197,000 % 39,000 28,000 ses $ 177,000 S 169,000 rgin on the data presented and your knowledge of the company, what type of responsibility center is this subunit? includes therefore, this subunit must be items should be investigated if part of management's decision criteria is westigate the following: (If an input field is not used in the table, leave the O Data table Subunit X Flexible Budget % Variance (F Variance (For U) or U) Actual Results Flexible Budget S 477.000 $ 450,000 261,000 253,000 only unfavorable variances be investigated? Explain. igate Favorable expense Net Sales Revenue Variable Expenses Contribution Margin Traceable Fixed Expenses 216,000 39,000 197.000 28,000 S 177,000 $ 169,000 Divisional Segment Margin ssible that the variances are due to a higher-than-expected sales volum ances V a due to sales volume differences between budget and a anagement place equal weight on each of the variances exceeding $9.0|| ariance is due to be Print Done balanced Scorecard perspective is being addressed through this perfor caddresses the perspective of the balanced Scorecard performance measures tend to be indicators. They typically e key performance indicator for the three other balanced Scorecard perspectives. Make sure to indicate which perspective is being addressed by the indicators you list table to identify one key performance indicator for the three other balanced Scorecard perspectives. ecard e Key performance indicator