points The "spending variance" is the difference between actual costs and planning budget costs. True False 8 5 points A company has the following information: Revenues - Planning Budget $50,000 Costs - Planning Budget $45,000 Revenues - Flexible Budget $55,000 Costs - Flexible Budget $50,000 Revenues - Actual $52,000 Costs - Actual I $48,000 The revenue variance is $2,000 favorable $2,000 unfavorable $3,000 favorable $3,000 unfavorable
Q: Outdoor Luggage Inc. makes high-end, hard-sided luggage for sports equipment. Data concerning three…
A: The term "constrained resources" refers to resources that are limited in supply and act as…
Q: The level of inventory of a manufactured product has increased by 9,022 units during a period. The…
A: The objective of the question is to determine the effect on operating income if absorption costing…
Q: 5. On August 8, 2020, a company sells goods to a customer, accepting a 3-year, $4,000 note bearing…
A: Sales Revenue is the revenue earned on sales of goods to the customer. It is recorded in the income…
Q: [The following information applies to the questions displayed below.] CommercialServices.com…
A: The objective of the question is to calculate the Return on Investment (ROI) for…
Q: Sunn Company manufactures a single product that sells for $180 per unit and whose variable costs are…
A: The break even sales are calculated as fixed costs divided by contribution Margin Ratio. The break…
Q: Please answer all requirements
A: REQUIREMENT 1 : Average operating assets $ 1870000 REQUIREMENT 2 : Margin 13 %Turnover 2.2ROI28.6 %…
Q: Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate…
A: Activity Based Costing :Activity-based costing (ABC) is referred to as the costing system businesses…
Q: https://www.republictt.com/pdfs/annual-reports/RFHL-Annual-Report-2022.pdf Use the link above to c)…
A: One significant accounting policy disclosed in the notes to the financial statements of Republic…
Q: compute the net cash provided by operating activities.
A: Statement of cash flows: Cash flow statement is also known as statement of cash flows. It is a…
Q: Direct Labor Variances Encinas Company produces a product that requires 3 standard hours per unit at…
A: Answer: a. Direct labor rate variance-$3,300 (favorable)b. Direct labor time variance-$6,300…
Q: If Robert is self-employed, how much can he deduct for this event?
A: Since Rober is a self-employed businessman he can deduct the cost of food and meals related to…
Q: b. Journalize the December 31 adjusting entry for semiannual interest earned on the bonds. Assume a…
A: Journal Entry is the recording of various transactions of business. It consists of various accounts,…
Q: Blue Supply Co. has the following transactions related to notes receivable during the last 2 months…
A: A journal entry is a record of a company's financial activities kept in its accounting books. The…
Q: (c) Prepare a cash disbursements schedule for each month of the second quarter ending June 30. Do…
A: Budgeting is the process of undertaking plans to spend money. This plan enables the business to…
Q: Vinny's Overhead Construction had free cash flow during 2021 of $39.8 million. The change in gross…
A: Income statementThe table or report showing the amount of net income or profits earned in a…
Q: None
A: Ending inventory is the amount of inventory that an entity has on hand, at the end of the period. It…
Q: Assuming that the tax rate is 35%, what is the amount of net income that would be reported in 2026?…
A: The income statement shows the company's income and expenses over some time.Net profit arises when…
Q: Cox Electric makes electronic components and has estimated the following for a new design of one of…
A: Break-even pointThe break-even point is the amount and units of sales which provided no profit or no…
Q: Joseph contributed $22,000 in cash and equipment with a tax basis of $5,000 and a fair market value…
A: The partnership is a form of business where two or more entities come together to run a common…
Q: Mojo Industries tracks the number of units purchased and sold throughout each accounting period but…
A: Under the Periodic method of inventory costing, the inventories are costed at the end of the period…
Q: Europa Company manufactures only one product. Presented below is direct labor information for…
A: Hence, the actual direct labor hours worked (AQ) during November is 23,000 hours. Hence, the final…
Q: Compute BMX's amounts for each of these four taxes as applied to the employee's gross earnings
A: Taxes on Social Security:The Federal Insurance Contributions Act (FICA) mandates a payroll tax and…
Q: Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near…
A: Spending and revenue variances are the difference between what the production overheads cost and…
Q: Periodic System- Calculating Ending Inventory and Cost of Sales using LIFO The following information…
A: Businesses may identify cost causes and execute cost-saving solutions by having a thorough…
Q: A food processing plant has fixed charges, overhead, and general expenses equal to $3,000,000 and…
A: The objective of the question is to calculate the breakeven point in terms of production rate and…
Q: Compute the following for the week ended August 25. nal
A: FICA (Federal Insurance Contributions Act) taxes are social security and Medicare taxes that both…
Q: Township In an investment pool to be managed by the city. Each of t air value as of the end of 2022.…
A: Fair value investment : Fair value is the price that would be received to sell an asset or paid to…
Q: Required information [The following information applies to the questions displayed below.] Raleigh…
A: Ending inventory using LIFO retail method = Beginning inventory at cost + Current period layer at…
Q: None
A: The objective of the question is to calculate the gain or loss Sarah incurred when she sold the…
Q: Exercise 10A-4 (Algo) Fixed Overhead Varlances [LO10-4] Selected operating Information on three…
A: The overhead rate is a cost that is allocated to the product or service at the time of production.…
Q: What amount should Wildhorse Company pay
A: Present value is the total sum of all the future value discount rate some rate. For the purpose of…
Q: Predetermined Factory Overhead Rate Poehling Medical Center has a single operating room that is used…
A: Pre-determined overhead rateThe rate of allocation used for the determination of overheads based on…
Q: Opulence Clothing is a manufacturer of designer suits. The cost of each suit is the sum of three…
A: Variance occurs when the budgeted inputs and outputs vary from the actual inputs and outputs.…
Q: Marin Company makes several products, including canoes. The company reports a loss from its canoe…
A: The differential analysis is performed to compare the different alternatives available with the…
Q: Build Corporation wants to purchase a new machine for $298,000. Management predicts that the machine…
A: The objective of this question is to calculate the payback period for the new machine that Build…
Q: On December 31, 2023, Berclair Incorporated had 200 million shares of common stock and 3 million…
A: EPS (Earnings Per Share), is calculated by dividing the weighted average number of common shares…
Q: Sunland Company enters into a lease agreement with Carla Vista Inc. to lease office space for a term…
A: lease is a contractual arrangement between two parties, known as the lessor and the lessee, in which…
Q: Elmwood Manufacturing reported sales of $2,000,000 last year (100,000 units at $20 each), when the…
A: MARGIN OF SAFETYSales Above the Break-Even Point is called Margin of Safety Sales.Margin of Safety…
Q: Sky Company employed Tom Mills in Year 1. Tom earned $5,100 per month and worked the entire year.…
A: Tax refers to the financial charge which is compulsory in nature and it is imposed by the government…
Q: Question Content Area Jake Entertainment Corporation has three segments with revenue, operating…
A: The objective of the question is to calculate the EBITDA (Earnings Before Interest, Taxes,…
Q: None
A: The average cost method of inventory valuation, when used in conjunction with a periodic inventory…
Q: Exercise 1 The following information was taken from the accounts and records of the Cribs…
A: The objective of the question is to prepare the statement of activities for the Cribs Foundation for…
Q: Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct…
A: Material variances: The difference between the actual material costs and the standard material costs…
Q: multiple divisions. One division, Iron Products, makes a component that another division, Austin, is…
A: The term transfer price is used for intra-departmental or intra-divisional transfer within the…
Q: A compoany acquired a building, paying a portion of the purchase price in cash and issuing a…
A: The statement of cash flow is one of the financial statements which shows the sources of cash from…
Q: The standard costs and actual costs for factory overhead for the manufacture of 2,700units of actual…
A: The difference between the standard cost that was anticipated or budgeted for a specific activity,…
Q: Jones Manufacturing Inc. sponsored a defined benefit pension plan effective 1 January 20X7. The…
A: In a defined benefit pension plan, an employer/sponsor guarantees a specific pension payment, lump…
Q: Tyrell Company entered into the following transactions involving short-term liabilities. Year 1…
A: The liabilities is what a business owes to outsiders. A liability is defined as a short-term or…
Q: 1. The balance sheet of Quetico Inc. reported the following at December 31, 2020: 2 A Shareholders'…
A: Dividend:The dividends refer to the amount which is paid to the shareholders whether it is equity or…
Q: As part of her year-end responsibilities, Sharon prepared the company's variable costing income…
A: The main differences between variable and absorption costing systems are the treatment of fixed…
Unlock instant AI solutions
Tap the button
to generate a solution
Click the button to generate
a solution
- Devin Company has the following data for their budget and actual performance. Master Budget Variance Master budget Actual Sales 153,163 156,097 ? 69,245 Variable Costs 64,012 ? 13,372 11,551 Fixed Costs What is the operating income master budget variance? If it is an unfavorable variance use a negative sign immediately before your answer. Hint: Remember you'll need to calculate budgeted and actual operating income before you can determine the operating income master budget variance.The following information is available for Top Company: Actual Result Flexible budget variance Flexible budget Sales volume variance Static budget Static budget variance Unit sold 150 a) b) c) 120 d) Revenues 1800 e) f) g) 2160 h) Variable cost 1050 i) j) k) 1500 l) Contribution margin 750 m) n) o) 660 p) Fixed cost 350 q) r) s) 300 t) Operating income 400 u) v) w) 360 x) Required: Find the missing item (a) through (x). For the variances indicate whether it is favorable (F) or unfavorable (U).1. Prepare a Level 2 Variance Analysis and answer the following questions. Actual Results Static Budget 1,020 units 1,000 units Units Revenues Total Var Cost Total Contr Margin Fixed Cost a. b. asup C. d. e. f. 100 woll $110,160 $ 74,460 $100,000 $ 70,000 Iban Mato Xmaldor $ 19,600 Operating Income $ 16,100 $ 10,000 shot Describe precisely the meaning of the following variances from this Performance Report: Flexible Budget Variance for Revenues palodi sat osup a'lood pl BV smi vispicyng pors $ 20,000 Flexible Budget Variance for Tot Variable Cost Flexible Budget Variance for Fixed Cost Sales Volume Variance for Revenues Sales Volume Variance for Tot Variable Cost Sales Volume Variance for Fixed Cost B
- Dasance, make sure to enter u in the appropriate neid. it ine variance is zero, do not select a saber. Hound your answers to the nearest whole odiar.) Actual Flexible-Budget Flexible Sales-Volume Results Variance Budget Variance Units sold Revenues (sales) Variable costs Contribution margin Fixed costs $ 103,000 695,250 $ 430,000 $ 345,050 F S 198,250 U 103.000 350,200 $ 231,750 265,250 246,750 18,500 $ 14,950 13,000 F 44,200 F $ 29,250 U 14,950 F 0 14,950 146,800 F 161,750 U U Operating income Calculate the total static-budget variance to verify your work is accurate. Determine the labels and then enter the amounts to calculate the static-budget variance. (For variances with a $0 balance, make sure to enter "0" in the appropriate field. If the variance is zero, do not select a label. Abbreviation used: CM = contribution margin.) 118,450 85,000 33,450 $ Static Budget F 90,000 306,000 202,500 Total static-budget variance 103,500 85,000 18,500Actual price and variable costs Sales price Materials cost Labor cost Overhead cost Selling, general, and administrative costs Actual fixed costs Manufacturing overhead Selling, general, and administrative Required $ 35.20 8.90 4.00 6.25 6.00 $ 117,000 52,000 a. & b. Determine the flexible budget variances and also indicate the effect of each variance by selecting favorable (F) or unfavorable (U). Note: Select "None" if there is no effect (i.e., zero variance). Sales revenue Variable manufacturing costs Materials Labor Overhead Selling, general, and administrative costs Contribution margin Fixed costs Manufacturing overhead Selling, general, and administrative costs Net income Flexible Budget VariancesCompute the sales variances (total, price and volume) from the following figures: Budgete Budgeted Price per Unit Actua Produ Actual Priceper unit (') ct d quantit quantit y y P 400 25 480 30 300 50 280 45 R 200 75 240 70 100 10 800 105
- Given the following information, calculate the purchasing department's efficiency variance. Standard number of transaction per day Standard labor cost per day Actual number of days for processing transactions Actual number of transactions processed Actual labor cost per day Multiple choice question. $2,400 favorable $4,400 favorable $4,400 unfavorable $2,400 unfavorable 20 $200 120 1,960 $180John Richardson is the manufacturing production supervisor for Benson Tool Works, a company that manufactures hand tools for mechanics. Trying to explain why he did not get the year-end bonus that he had expected, he told his wife, "This is the dumbest place I've ever worked. Last year the company set up this budget assuming it would sell 150,600 units. Well, it sold only 140,600. The company lost money and gave me a bonus for not using as much materials and labor as was called for in the budget. This year, the company has the same 150,600 units goal and it sells 160,600. The company's making all kinds of money. You'd think I'd get this big fat bonus. Instead, management tells me I used more materials and labor than was budgeted. They said the company would have made a lot more money if I'd stayed within my budget. I guess I gotta wait for another bad year before I get a bonus. Like I said, this is the dumbest place I've ever worked." Benson's master budget and the actual results for…PLEASE ANSWER THE FOLLOWING QUESTIONS: Requirements 1. Compute the total sales-volume variance, the total sales-mix variance, and the total sales-quantity variance. (Calculate all variances in terms of contribution margin.) Show results for each product in your computations. 2. What inferences can you draw from the variances computed in requirement 1? Data table Budget for 2020 Selling Variable Cost Cartons Product Price per Carton Sold Kostor $11.00 $ Limba $ 23.00 $ 6.40 16.15 Actual for 2020 Selling Variable Cost Cartons Price per Carton Sold 7.40 138,600 16.35 59,400 132,000 $11.60 S 88,000 $ 24.40 $
- Oriole Industries has the following actual and master budget information for its two product lines: Volume in Units Unit Contribution Margin Sales quantity variance Gadgets Sales quantity variance Gizmos Actual Results Total sales quantity variance Gadgets Gizmos 1,150 1,870 $6 $9 Compute the Sales Quantity Variances for the Gadgets, Gizmos, and in Total. (Round intermediate calculations to 4 decimal places, eg. 2.3337 and final answers to O decimal places, e.g. 2,555.) $ $ tA Master Budget $ Gadgets 1,350 $5 Gizmos 1,770 $10 >Required a. Prepare in good form a budgeted and actual income statement for internal use. Separate operating income from net income in the statements and indicate whether each variance is favorable (F) or unfavorable (U). (Select "None" if there is no effect (i.e., zero variance).) Sales Variable expenses: Fixed expenses: $ ROONEY COMPANY Internal Income Statement Budget 0 0 0 $ Actual 0 0 0 Variance Effect• The standard variable overhead costs budget for CTF of 800 units with detail information as follows: 3hours/unit and $20 per labour hour. • The actual variable overhead costs budget of 1,000 units with detail information as follows: 2.6hours/unit and 28$/labour hour. • Analyse the variable overhead costs variance → Do we need to set up a flexible budget in this case? Why?