Bickel Corporation uses customers served as its measure of activity. The following report comparesthe planning budget to the actual operating results for the month of November:Customers servedRevenue ($3.60g)Expenses:Wages and salaries ($25,600+ $1.20g)Supplies ($0.50g)Insurance ($ 7,400)Miscellaneous expense ($6,200 + $0.40g)Total expenseNet operating income.Customers servedRevenueExpenses:Bickel CorporationComparison of Actual Results to Planning BudgetFor the Month Ended November 30Wages and salariesSuppliesInsuranceMiscellaneous expenseTotal expenseRequired:Prepare the company's flexible budget performance report for November. Label each variance asfavorable (F) or unfavorable (U). (Indicate the effect of each variance by selecting "F" for favorable,"U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positivevalues.)Bickel CorporationFlexible Budget Performance ReportFor the Month Ended November 30ActualResultsActual Results Planning Budget27,400$ 97,60027,400Revenue andSpending VariancesFlexibleBudget50,60016,4007,30027,40013,60087,900$ 9,70029,250$ 105,30060,70014,6257,40017,900100,625$ 4,675Activity VariancesPlanningBudget29,250

A budget is a forecast of revenue and expenses for a certain future period of time that is generally…

Answered: Bickel Corporation uses customers…

Bickel Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of November:

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter10: Evaluating Decentralized Operations

Section: Chapter Questions

Problem 1PB

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Bickel Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of November: Bickel Corporation - Comparison of Actual Results to Planning Budget For the Month Ended November 30 Customers served Revenue ($3.504) Expenses: Mages and salaries ($24,200 $1.324) Supplies ($0.729) Insurance ($6,100) Miscellaneous expense (55,100 50.410) Total expense Net operating income Actual Results 43,000 $150,300 80,960 28,840 6,100 20,920 136,820 $ 11,400 Planning Budget 42,000 $147,000 79,640 30,240 6,100 22,320 138,300 $1,700 Variances $3,300 F 1,320 U 1,400 F 0 None 1,400 F 1,480 F $4,780 F Required: Prepare the company's Comprehensive Performance Report for November. 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.)
Budget Performance Report for a Cost CenterThe Eastern District of Adelson Inc. is organized as a cost center. The budget for the Eastern District of Adelson Inc. for themonth ended December 31 is as follows:Sales salaries $819,840System administration salaries 448,152Customer service salaries 152,600Billing salaries 98,760Maintenance 271,104Depreciation of plant and equipment 92,232Insurance and property taxes 41,280Total $1,923,968During December, the costs incurred in the Eastern District were as follows:Sales salaries $818,880System administration salaries 447,720Customer service salaries 183,120Billing salaries 98,100Maintenance 273,000Depreciation of plant and equipment 92,232Insurance and property taxes 41,400Total $1,954,452Required:1. Prepare a budget performance report for the manager of the Eastern District of Adelson for the month of December.Enter all amounts as positive numbers. If an amount box does not require an entry, leave it blank, or enter zero "0".
Cicchetti Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of December: Cicchetti Corporation Comparison of Actual Results to Planning Budget For the Month Ended December 31 Actual Results 36,000 $180,900 Planning Budget 30,500 $152,500 Variances Customers served Revenue ($5.0q) Expenses: Wages and salaries ($37,300 + $1.8q) Supplies ($0.8q) Insurance ($14,300) Miscellaneous expense ($7,300 + $0.3q) Total expense Net operating income $28,400 F 105,400 28,300 14,650 19,950 168,300 $ 12,600 92,200 24,400 14,300 16,450 147,350 $ 5,150 13,200 3,900 350 3,500 U U U U 20,950 $ 7,450 U F Required: Prepare the company's flexible budget performance report for December. Select each variance as favorable (F), unfavorable (U) or "None". Cicchetti Corporation Flexible Budget Performance Report Part 1 For the Month Ended December 31 Actual Revenue and Flexible Results Spending Variances…
e Eastern District of Adelson Inc. is organized as a cost center. The budget for the Eastern District of Adelson Inc. for the month ended December 31 is as follows: Sales salaries $819,840 System administration salaries 448,152 Customer service salaries 152,600 Billing salaries 98,760 Maintenance 271,104 Depreciation of plant and equipment 92,232 Insurance and property taxes 41,280 Total $1,923,968 During December, the costs incurred in the Eastern District were as follows: Sales salaries $818,880 System administration salaries 447,720 Customer service salaries 183,120 Billing salaries 98,100 Maintenance 273,000 Depreciation of plant and equipment 92,232 Insurance and property taxes 41,400 Total $1,954,452 Required: 1. Prepare a budget performance report for the manager of the Eastern District of Adelson for the month of December. Enter all amounts as positive numbers. If an amount box does not require an entry, leave it…
Panther Corporation appeared to be experiencing a good year. Sales in the first quarter were one-third ahead of last year, and the sales department predicted that this rate would continue throughout the entire year. The controller asked Janet Nomura, a summer accounting intern, to prepare a draft forecast for the year and to analyze the differences from last year's results. She based the forecast on actual results obtained in the first quarter plus the expected costs of production to be completed in the remainder of the year. She worked with various department heads (production, sales, and so on) to get the necessary information. The results of these efforts follow: PANTHER CORPORATION Expected Account Balances for December 31, Year 2 Cash 6,500 Accounts receivable 337,000 Inventory (January 1, Year 2) Plant and equipment Accumulated depreciation Accounts payable Notes payable (due within one year) Accrued payables 240,000 605,000 $ 181,000 197,000 217,000 110,000 Common stock 450,000…
Relevant data from Picta Company’s operating budgets are presented below. The company’s financial year ends on 30 June. Quarter 1Quarter 2Sales$248,470$251,539Direct material purchases120,295128,832Direct labor76,55374,289Manufacturing overhead26,00024,400Selling and administration expenses33,50033,500Depreciation included in selling and administration expenses 2,000 2,500 Collection from customers230,524220,116Cash payments for purchases114,345118,346 Additional data:Equipment was sold in July for $8,000 and $4,500 in November. Dividends of $5,500 were paid in August. The beginning cash balance was $80,395 and a required minimum cash balance per quarter is $60,000. The company has a 15% open line of credit for $70 000 with their bank. Required: a) Use this information to prepare a cash budget for the first two quarters of the year. bi) Briefly comment on Picta Company’s expected cashflow position in the first two quarters of the year.
Cicchetti Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of December: Cicchetti CorporationComparison of Actual Results to Planning BudgetFor the Month Ended December 31 Actual Results Planning Budget Variances Customers served 42,000 38,000 Revenue ($5.0q) $ 211,200 $ 190,000 $ 21,200 F Expenses: Wages and salaries ($37,900 + $1.8q) 117,400 106,300 11,100 U Supplies ($0.6q) 24,400 22,800 1,600 U Insurance ($14,900) 15,550 14,900 650 U Miscellaneous expense ($7,900 + $0.5q) 31,050 26,900 4,150 U Total expense 188,400 170,900 17,500 U Net operating income $ 22,800 $ 19,100 $ 3,700 F Required:Prepare the company's flexible budget performance report for December. Select each variance as favorable (F), unfavorable (U) or…
The Eastern District of Adelson Inc. is organized as a cost center. The budget for the Eastern District of Adelson Inc. for the month ended December 31 is as follows: Sales salaries $819,840 System administration salaries 448,152 Customer service salaries 152,600 Billing salaries 98,760 Maintenance 271,104 Depreciation of plant and equipment 92,232 Insurance and property taxes 41,280 Total $1,923,968 During December, the costs incurred in the Eastern District were as follows: Sales salaries $818,880 System administration salaries 447,720 Customer service salaries 183,120 Billing salaries 98,100 Maintenance 273,000 Depreciation of plant and equipment 92,232 Insurance and property taxes 41,400 Total $1,954,452 Required: 1. Prepare a budget performance report for the manager of the Eastern District of Adelson for the month of December. If an amount box does not require an entry, leave it blank. Adelson Inc. Budget…
Middler Corporation, a manufacturer of electronics and communications systems, uses a service department charge system to charge profit centers with Computing and Communications Services (CCS) service department costs. The following table identifies an abbreviated list of service categories and activity bases used by the CCS department. The table also includes some assumed cost and activity base quantity information for each service for October. CCS ServiceCategory Activity Base Budgeted Cost Budgeted ActivityBase Quantity Help desk Number of calls $55,660 2,200 Network center Number of devices monitored 668,100 10,200 Electronic mail Number of user accounts 57,500 5,750 Handheld technology support Number of handheld devices issued 153,600 9,600 One of the profit centers for Middler Corporation is the Communication Systems (COMM) sector. Assume the following information for the COMM sector: The sector has 1,000 employees, of whom 50% are office employees.…