Jake's Roof Repair has provided the following data concerning its costs:Fixed Cost Cost perper Month Repair-Hour$ 21,500 $ 15.00.$7.30Wages and salariesParts and suppliesEquipment depreciationTruck operating expensesRentRevenueExpenses:Administrative expenses$ 0.50For example, wages and salaries should be $21,500 plus $15.00 per repair-hour. The company expected to work 3,000 repair-hours inMay, but actually worked 2,900 repair-hours. The company expects its sales to be $54.00 per repair-hour.$ 2,760$ 5,740Required:Compute the company's activity variances for May. (Indicate the effect of each variance by selecting "F" for favorable, "U" forunfavorable, and "None" for no effect (.e., zero variance). Input all amounts as positive values.)Wages and salariesParts and suppliesEquipment depreciationTruck operating expensesRent$ 4,630$ 3,820Jake's Roof RepairActivity VariancesFor the Month Ended May 31Administrative expensesTotal expenseNet operating income$ 0.40$ 1.70

Variance analysis is defined as the procedure followed by the management to study the deviations…

Jake's Roof Repair has provided the following data concerning its costs: Fixed Cost per Month $ 21,500 Cost per Repair-Hour $15.00. $7.30 $0.40 $ 1.70 Administrative expenses $0.50 For example, wages and salaries should be $21,500 plus $15.00 per repair-hour. The company expected to work 3,000 repair-hours in May, but actually worked 2,900 repair-hours. The company expects its sales to be $54.00 per repair-hour. Wages and salaries Parts and supplies Equipment depreciation Truck operating expenses Rent Required: Compute the company's activity variances for May. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance). Input all amounts as positive values.) Revenue Expenses: Jake's Roof Repair Activity Variances For the Month Ended May 31 Wages and salaries Parts and supplies $ 2,760 $5,740 $4,630 $3,820 Equipment depreciation Truck operating expenses Rent Administrative expenses Total expense Net operating income

Jake's Roof Repair has provided the following data concerning its costs: Fixed Cost per Month $ 21,500 Cost per Repair-Hour $15.00. $7.30 $0.40 $ 1.70 Administrative expenses $0.50 For example, wages and salaries should be $21,500 plus $15.00 per repair-hour. The company expected to work 3,000 repair-hours in May, but actually worked 2,900 repair-hours. The company expects its sales to be $54.00 per repair-hour. Wages and salaries Parts and supplies Equipment depreciation Truck operating expenses Rent Required: Compute the company's activity variances for May. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (.e., zero variance). Input all amounts as positive values.) Revenue Expenses: Jake's Roof Repair Activity Variances For the Month Ended May 31 Wages and salaries Parts and supplies $ 2,760 $5,740 $4,630 $3,820 Equipment depreciation Truck operating expenses Rent Administrative expenses Total expense Net operating income

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 4EA: Hicks Contracting collects and analyzes cost data in order to track the cost of installing decks on...

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