Business Solutions's second-quarter 2020 fixed budget performance report for Its computer furniture operations follows. The $170,770 budgeted expenses include $112,000 in variable expenses for desks and $22,770 in varlab expenses for chairs, as well as $36,000 fixed expenses. The actual expenses include $37,400 fixed expenses. LIs fixed and varlable expenses separately. Fixed Budget Actual Results Variances Desk sales (in units) 140 146 Chair sales (in units) 69 77 $184,800 36,570 170,770 $191, 260 41,965 180,030 $6,460 F 5,395 F 9,260 U Desk sales Chair sales Total expenses Income from operations $ 50,600 $ 53,195 $2,595 F Prepare a flexible budget performance report that shows any varlances between budgeted results and actual results. BUSINESS SOLUTIONS Flexible Budget Performance Report For Quarter Ended June 30 Flexible Budget Actual Results Variance Fav./Unf.

Business Solutions's second-quarter 2020 fixed budget performance report for Its computer furniture operations follows. The $170,770 budgeted expenses include $112,000 in variable expenses for desks and $22,770 in varlab expenses for chairs, as well as $36,000 fixed expenses. The actual expenses include $37,400 fixed expenses. LIs fixed and varlable expenses separately. Fixed Budget Actual Results Variances Desk sales (in units) 140 146 Chair sales (in units) 69 77 $184,800 36,570 170,770 $191, 260 41,965 180,030 $6,460 F 5,395 F 9,260 U Desk sales Chair sales Total expenses Income from operations $ 50,600 $ 53,195 $2,595 F Prepare a flexible budget performance report that shows any varlances between budgeted results and actual results. BUSINESS SOLUTIONS Flexible Budget Performance Report For Quarter Ended June 30 Flexible Budget Actual Results Variance Fav./Unf.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Which of the following budgets provides data for different levels of sales volume? Group of answer choices Static budget Flexible budget Sales budget Master budget
Two standards that are established for evaluating budget performance are the cost standard and the efficiency standard. Explain the difference between the two standards and give an example of each. Why is it important to measure the actual results against both standards?
Compare how alternative budget time frames can be used.
The Production Budget should be prepared before the Direct Materials and Direct Labor Budgets. TRUE FALSE
Management Accounting Question (Qualitative Short Answer) a. Why is the sales forecast the starting point in budgeting? b. What is a perpetual budget? c. Which is a better basis for evaluating actual results: budgeted performance or past performance? Why? d. The materials price variance can be computed at what two different points in time? Which point is better and why? e. What effect, if any, would you expect purchasing poor-quality materials to have on direct labor variances? f. Distinguish between ideal and practical standards. g. Costs associated with the quality of conformance can be broken down into four broad groups. What are these four groups and how do they differ? h. What is likely the most effective way to reduce a company's total quality costs? i. What are the three main uses of quality cost reports?
Explain your answer and do not copy from others sources
What is a flexible budget performance report?
In the executing stage of management cycle, managers check for variances, between budgets and actual performance. Select one: O True O False
Can you please answer those 2 questions and provide appropriate answers? thank you for your answers. 1. Flexible budgets are used during which stage of the management process? * Planning Organizing Implementing Controlling Evaluation 2. What kind of variance results from a difference between the planning budget and the flexible budget ? * Spending Activity Pre-determined Evaluation none of the above
4. Explain the differences between fixed and flexible budgets and their relevance in evaluating operational performance.