Annie's Homemade is preparing a planning budget for August. Its budgeted revenue per serving is $5.00....

 

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Annie's Homemade is preparing a planning budget for August. Its budgeted revenue per serving is $5.00. It has identified two cost drivers-number of servings and number of labor-hours. The company expects to sell 10,800 servings and to staff 700 employee labor-hours in August. Data concerning the company's cost formulas are shown below: Fixed Cost Cost per Cost per Per Month Labor-Hour $ 7,000 $ 8.00 Ingredients expense Salaries and wages expense Franchise fee Credit card processing fees Utilities expense $ 300 Rent expense $ 3,000 Equipment depreciation expense $1,750 Other expenses $ 4,200 Required: Prepare a planning budget for August. Serving $ 1.25 $ 0.25 $ 0.09 $ 0.02 Annie's Homemade is preparing a planning budget for August. Its budgeted revenue per serving is $5.00. It has identified two cost drivers-number of servings and number of labor-hours. The company expects to sell 10,800 servings and to staff 700 employee labor-hours in August. Data concerning the company's cost formulas are shown below: Fixed Cost Cost per Cost per Per Month Labor-Hour $ 7,000 $ 8.00 Ingredients expense Salaries and wages expense Franchise fee Credit card processing fees Utilities expense $ 300 Rent expense $ 3,000 Equipment depreciation expense $1,750 Other expenses $ 4,200 Required: Prepare a planning budget for August. Serving $ 1.25 $ 0.25 $ 0.09 $ 0.02

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To prepare a planning budget for Annies Homemade for August youll need to calculate both the fixed a... View the full answer