AirQual Test Corporation provides on-site air quality testing services. The company has provided the following cost...
Fantastic news! We've Found the answer you've been seeking!
Question:
![image text in transcribed](https://s3.amazonaws.com/si.experts.images/answers/2024/05/6648c6d388ee5_5226648c6d2ea5ff.jpg)
Transcribed Image Text:
AirQual Test Corporation provides on-site air quality testing services. The company has provided the following cost formulas and actual results for the month of February: Fixed Component per Month Variable Component per Job for February Actual Total Revenue $ 275 $ 38,500 Technician wages $ 8,100 $ 7,950 Mobile lab operating expenses $ 4,700 $ 32 $ 9,340 Office expenses $ 2,700 $ 3 $ 3,000 Advertising expenses $ 1,550 $ 1,620 Insurance Miscellaneous expenses $ 2,890 $ $ 2,890 930 $ 1 $ 385 The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,700 plus $32 per job, and the actual mobile lab operating expenses for February were $9,340. The company expected to work 150 jobs in February, but actually worked 158 jobs. Required: Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activity variances for February. (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.) AirQual Test Corporation Jobs Revenue Flexible Budget Performance Report For the Month Ended February 28 Actual Results Flexible Planning Budget Budget 158 $ 38,500 Expenses: Technician wages 7,950 Mobile lab operating expenses 9,340 Office expenses 3,000 Advertising expenses 1,620 Insurance 2,890 Miscellaneous expenses 385 Total expense 25,185 Net operating income $ 13,315 AirQual Test Corporation provides on-site air quality testing services. The company has provided the following cost formulas and actual results for the month of February: Fixed Component per Month Variable Component per Job for February Actual Total Revenue $ 275 $ 38,500 Technician wages $ 8,100 $ 7,950 Mobile lab operating expenses $ 4,700 $ 32 $ 9,340 Office expenses $ 2,700 $ 3 $ 3,000 Advertising expenses $ 1,550 $ 1,620 Insurance Miscellaneous expenses $ 2,890 $ $ 2,890 930 $ 1 $ 385 The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,700 plus $32 per job, and the actual mobile lab operating expenses for February were $9,340. The company expected to work 150 jobs in February, but actually worked 158 jobs. Required: Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activity variances for February. (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.) AirQual Test Corporation Jobs Revenue Flexible Budget Performance Report For the Month Ended February 28 Actual Results Flexible Planning Budget Budget 158 $ 38,500 Expenses: Technician wages 7,950 Mobile lab operating expenses 9,340 Office expenses 3,000 Advertising expenses 1,620 Insurance 2,890 Miscellaneous expenses 385 Total expense 25,185 Net operating income $ 13,315
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
Draw isometric projection of the following figure 10 40 50 $30 Pg. 3 : 20
-
Apple, Inc. incurs many types of costs in its operations. Required For each cost in the following table, identify the stage in the value chain where this cost isincurred. Cost Stage In the Value...
-
Your company produces a favorite summertime food product, and you have been placed in charge of forecasting shipments of this product. The historical data below represent your company's past...
-
Using the above data, calculate the operatingcash-flow-to-capital-expenditures ratio for Evans \& Sons. The following information for Evans \& Sons relates Cash flow from operating activities......
-
1. What are the pick-up, sort, linehaul, and delivery costs to Hardee for this move? 2. What is the total cost of this move? Cost per cwt.? Cost per revenue mile? 3. If Hardee would put two drivers...
-
Increasing Frequency Behaviors If you have children or have ever worked with children, you know that there are times when a child is either not doing something you would want him or her to do or not...
-
Select any multinational company and explain the following based on Global Value Chain: 1.Explain in detail company's overall international trade documents platform - types and critical importance of...
-
A systematic process for analyzing the purchase of products and services to reduce costs, reduce risks, and improve supplier performance is called _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ . effective...
-
(1) The pros and cons of stare decisis on our society, (2) Whether you believe that the doctrine is sufficiently defined. (3) How you felt about the views and opinions expressed in the videos? ...
-
7. Terrier Nation Inc. expects to pay a dividend of $8 at the end of Year 4 (they do not expect to pay dividends in years 1, 2 and 3). After year 4, dividends are expected to grow at 7% for the...
-
7. Define File & Directory. What is the most common way of structuring directories? What are the different types of file access methods? For given Disk Allocation Find the Directory count 40 50 60 70...
-
The Board of Directors (BoDs) of ABC plc. decides in its 315th Board Meeting held on 25.06.2022 to enter into a contract whereby a Director of the said company shall acquire certain assets from the...
-
Is big data analytics the real deal in supply chain transformation or have other analytical based technologies progressed to make a larger impact?
-
(a) Use integration by parts to show that (b) If f and g are inverse functions and f' is continuous, prove that (c) In the case where f and t are positive functions and b > a > 0, draw a diagram to...
-
Use the Peclet number [Eq. (16-111a)] to determine which model (completely mixed or plug flow) is appropriate for the distillation column calculation at \(\mathrm{x}_{\mathrm{W}}=0.48\) in Problems...
-
The value of \(\mathrm{E}_{\mathrm{MD}}=0.927\) in Example 16-5 is lower than the 0.95 value your supervisor expects. You are tasked to see if the current mixer with the current feed rate can be...
-
Which activity is part of the sales order entry process? a. setting customer credit limits b. preparing a bill of lading c. checking customer credit d. approving sales returns
![Mobile App Logo](https://dsd5zvtm8ll6.cloudfront.net/includes/images/mobile/finalLogo.png)
Study smarter with the SolutionInn App