Brandon Park owns and operates Brandon's Books. Brandon has provided the following incomplete Variance Reports extracts. Cash Budget Variance Report (extract) for the year ended 30 June 2020 Favourable / Unfavourable Actual $250 000 $242 900 Receipts from Accounts Receivable $220 000 S258 500 $14 500 Budget Variance S7 100 S38 500 Cash Sales F Advertising S500 F Income Statement Variance Report (extract) for the year ended 30 June 2020 Actual Favourable / Unfavourable Budget $200 000 S247 500 $1 500 $2 500 Variance $47 500 Credit Sales Sales Return S750 U Discount Expense $4 300 $1 800 U In the Answer Booklet, complete thSariance report extracts. a. b. State the reason why Brandon could view the Receipts from Accounts Receivable variance as favorable.
Brandon Park owns and operates Brandon's Books. Brandon has provided the following incomplete Variance Reports extracts. Cash Budget Variance Report (extract) for the year ended 30 June 2020 Favourable / Unfavourable Actual $250 000 $242 900 Receipts from Accounts Receivable $220 000 S258 500 $14 500 Budget Variance S7 100 S38 500 Cash Sales F Advertising S500 F Income Statement Variance Report (extract) for the year ended 30 June 2020 Actual Favourable / Unfavourable Budget $200 000 S247 500 $1 500 $2 500 Variance $47 500 Credit Sales Sales Return S750 U Discount Expense $4 300 $1 800 U In the Answer Booklet, complete thSariance report extracts. a. b. State the reason why Brandon could view the Receipts from Accounts Receivable variance as favorable.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please do a and b
thank you
Transcribed Image Text:Brandon Park owns and operates Brandon's Books.
Brandon has provided the following incomplete Variance Reports extracts.
Cash Budget Variance Report (extract)
for the year ended 30 June 2020
Budget
Actual
Favourable / Unfavourable
Variance
S7 100
$38 500
Cash Sales
$250 000 $242 900
Receipts from Accounts Receivable S220 000 $258 500
Advertising
F
$14 500
S500
F
Income Statement Variance Report (extract)
for the year ended 30 June 2020
Budget
$200 000 $247 500
$1 500
$2 500
Actual
Variance
$47 500
Favourable / Unfavourable
Credit Sales
Sales Return
$750
U
Discount Expense
$4 300
S1 800
U
In the Answer Booklet, complete thSariance report extracts.
a.
b. State the reason why Brandon could view the Receipts from Accounts
Receivable variance as favorable.
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