Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4] Vulcan Flyovers offers scenic overflights of Mount Saint Helens. Data concerning the company's operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Flights (q) Revenue ($345.00g) Expenses: Wages and salaries ($3,600 + $91.009) Fuel ($30.00g) Airport fees ($860 + $32.009) Aircraft depreciation ($11.00q) Office expenses ($230 + $1.00q) Total expenses Net operating income Flights Revenue Expenses: Wages and salaries Fuel Airport fees Aircraft depreciation Office expenses Total expenses Net operating income Actual Results $ $ Actual Results 54 16,200 54 $ 16, 200 8,472 1,790 2,478 594 452 13,786 2,414 8,472 1,790 2,478 594 452 13,786 $ 2,414 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane at a discount. Required: 1. Prepare a flexible budget performance report for July. Note: 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 positive values. Flexible Budget 54 $ 18,630 $ 8,514 1,620 2,588 594 284 $ 13,600 $ 5,030 Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget Planning Budget 54 18,630 52 $ 17,940 8,514 1,620 2,588 594 284 13,600 5,030 8,332 1,560 2,524 572 282 13,270 $ 4,670 Planning Budget $ 52 17,940 8,332 1,560 2,524 572 282 13,270 4,670
Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4] Vulcan Flyovers offers scenic overflights of Mount Saint Helens. Data concerning the company's operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Flights (q) Revenue ($345.00g) Expenses: Wages and salaries ($3,600 + $91.009) Fuel ($30.00g) Airport fees ($860 + $32.009) Aircraft depreciation ($11.00q) Office expenses ($230 + $1.00q) Total expenses Net operating income Flights Revenue Expenses: Wages and salaries Fuel Airport fees Aircraft depreciation Office expenses Total expenses Net operating income Actual Results $ $ Actual Results 54 16,200 54 $ 16, 200 8,472 1,790 2,478 594 452 13,786 2,414 8,472 1,790 2,478 594 452 13,786 $ 2,414 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane at a discount. Required: 1. Prepare a flexible budget performance report for July. Note: 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 positive values. Flexible Budget 54 $ 18,630 $ 8,514 1,620 2,588 594 284 $ 13,600 $ 5,030 Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget Planning Budget 54 18,630 52 $ 17,940 8,514 1,620 2,588 594 284 13,600 5,030 8,332 1,560 2,524 572 282 13,270 $ 4,670 Planning Budget $ 52 17,940 8,332 1,560 2,524 572 282 13,270 4,670
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Question
![Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4]
Vulcan Flyovers offers scenic overflights of Mount Saint Helens. Data concerning the company's operations in July appear below:
Vulcan Flyovers
Operating Data
For the Month Ended July 31
Flights (q)
Revenue ($345.00q)
Expenses:
Wages and salaries ($3,600 + $91.00g)
Fuel ($30.00q)
Airport fees ($860 + $32.009)
Aircraft depreciation ($11.00q)
Office expenses ($230 + $1.00g)
Total expenses
Net operating income
Flights
Revenue
Expenses:
Wages and salaries
Fuel
Airport fees
Aircraft depreciation
Office expenses
Total expenses
Net operating income
Actual Results
$
$
Actual
Results
54
16,200
54
$ 16, 200
8,472
1,790
2,478
594
452
13,786
2,414
The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane at a
discount.
Flexible
Budget
8,472
1,790
2,478
594
452
13,786
13,600
$ 2,414 $ 5,030
Required:
1. Prepare a flexible budget performance report for July.
Note: 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 positive values.
54
$ 18,630
$
8,514
1,620
2,588
$
Vulcan Flyovers
Flexible Budget Performance Report
For the Month Ended July 31
594
284
Flexible
Budget
Planning
Budget
54
18,630
52
$ 17,940
8,514
1,620
2,588
594
284
13,600
5,030
8,332
1,560
2,524
572
282
13,270
$ 4,670
Planning
Budget
$
$
52
17,940
8,332
1,560
2,524
572
282
13,270
4,670](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Feb7a9545-0181-448b-ab4d-c330a649b648%2F30e8a6e3-b7c9-4f56-8659-31745d33c604%2Fadtkvga_processed.png&w=3840&q=75)
Transcribed Image Text:Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4]
Vulcan Flyovers offers scenic overflights of Mount Saint Helens. Data concerning the company's operations in July appear below:
Vulcan Flyovers
Operating Data
For the Month Ended July 31
Flights (q)
Revenue ($345.00q)
Expenses:
Wages and salaries ($3,600 + $91.00g)
Fuel ($30.00q)
Airport fees ($860 + $32.009)
Aircraft depreciation ($11.00q)
Office expenses ($230 + $1.00g)
Total expenses
Net operating income
Flights
Revenue
Expenses:
Wages and salaries
Fuel
Airport fees
Aircraft depreciation
Office expenses
Total expenses
Net operating income
Actual Results
$
$
Actual
Results
54
16,200
54
$ 16, 200
8,472
1,790
2,478
594
452
13,786
2,414
The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane at a
discount.
Flexible
Budget
8,472
1,790
2,478
594
452
13,786
13,600
$ 2,414 $ 5,030
Required:
1. Prepare a flexible budget performance report for July.
Note: 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 positive values.
54
$ 18,630
$
8,514
1,620
2,588
$
Vulcan Flyovers
Flexible Budget Performance Report
For the Month Ended July 31
594
284
Flexible
Budget
Planning
Budget
54
18,630
52
$ 17,940
8,514
1,620
2,588
594
284
13,600
5,030
8,332
1,560
2,524
572
282
13,270
$ 4,670
Planning
Budget
$
$
52
17,940
8,332
1,560
2,524
572
282
13,270
4,670
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