DeLuxe Limo Service has the following information for March: Sales revenue Variable costs of operations, excluding labor costs Employee wages and salariesb Manager salaries Fixed cost of automobilesd Building costs (rent, utilities, etc.)e $ 250, 000 75,000 100, 000 20,000 25,000 12, 500 a 5 percent of this cost was wasted due to poor directions given to limo drivers. b 5 percent of this cost was for time spent by limo drivers because of poor directions. C 10 percent of this cost was time taken to address customer complaints. d The limos have 40 percent unused capacity. e The building has 10 percent unused capacity. Required: a. Using the traditional income statement format, prepare a value income statement. (Loss amounts should be indicated with a minus sign.) Answer is complete but not entirely correct. DELUXE LIMO SERVICE Value Income Statement For the Month Ending March 31 Value- added Nonvalue- added Total Activities Activities

DeLuxe Limo Service has the following information for March: Sales revenue Variable costs of operations, excluding labor costs Employee wages and salariesb Manager salaries Fixed cost of automobilesd Building costs (rent, utilities, etc.)e $ 250, 000 75,000 100, 000 20,000 25,000 12, 500 a 5 percent of this cost was wasted due to poor directions given to limo drivers. b 5 percent of this cost was for time spent by limo drivers because of poor directions. C 10 percent of this cost was time taken to address customer complaints. d The limos have 40 percent unused capacity. e The building has 10 percent unused capacity. Required: a. Using the traditional income statement format, prepare a value income statement. (Loss amounts should be indicated with a minus sign.) Answer is complete but not entirely correct. DELUXE LIMO SERVICE Value Income Statement For the Month Ending March 31 Value- added Nonvalue- added Total Activities Activities

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

What is Descartes's account of error? How do we make one and how can we avoid making one?
What is a proxy fight?
Using a service often results in possession and ownership. Select one: O a. True. X b. False.
Your solution is wrong see the answers at bottom of the question
i don't understand the written solution
why did you not answer b?
What is COSO? What is the PCAOB? Why are they important?
It says they answers are wrong from your example.
What are the consequences of ignoring the problem?
A non-resident citizen of the Philippines is allowing his China-resident neighbor to live in his home during the latter’s vacation in the Philippines. When the Chinese traveller arrived in the Philippines, the non-resident citizen of the Philippines called him and told him to give the rental payment to his cousin who lives in the Philippines and manages the said house. The Chinese man agreed and the non-resident citizen of the Philippines called his cousin to tell him that the payment he will be receiving would represent his bonus for managing the house. Is the rent payment received by the cousin taxable in the PH? If yes, specify what kind of tax is due and provide the relevant article from the PH Tax Code)