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:

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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