Margot's Ice Cream operates several stores in a major metropolitan city and its suburbs. Its budget and operating data for the currentyear follow:FlavorGallonsBudgeted DataSellingPrice perGallonActual Operating ResultsVanilla318,000$ 1.90VariableCosts perGallon$ 1.20GallonsSellingPrice perGallonVariableCosts perGallon258,000$ 1.75Chocolate397,5002.801.90367,5002.65$ 1.101.80StrawberryAnchovy265,0002.4579,5003.801.352.30395,0002.651.40199,5004.302.50Required:1. Compute these variances for the individual flavors and total quantity sold. (Use the Contribution Margin in your calculations and donot round intermediate calculations.)FlavorVanillaChocolateStrawberryAnchovyTotala.b.Sales Volume VarianceSales Mix VarianceSales Quantity VarianceUnfavorableUnfavorableFavorableFavorable

The difference between actual units sold and budgeted (or standard) units sold at a given price…

Margot's Ice Cream operates several stores in a major metropolitan city and its suburbs. Its budget and operating data for the current year follow: Budgeted Data Actual Operating Results Flavor Gallons Selling Price per Gallon Vanilla Chocolate 318,000 $ 1.90 Variable Costs per Gallon $ 1.20 Gallons Selling Price per Gallon Variable Costs per Gallon 258,000 $ 1.75 $ 1.10 397,500 2.80 1.90 367,500 2.65 1.80 Strawberry Anchovy 265,000 2.45 1.35 395,000 2.65 1.40 79,500 3.80 2.30 199,500 4.30 2.50 Required: 1. Compute these variances for the individual flavors and total quantity sold. (Use the Contribution Margin in your calculations and do not round intermediate calculations.)

Margot's Ice Cream operates several stores in a major metropolitan city and its suburbs. Its budget and operating data for the current year follow: Budgeted Data Actual Operating Results Flavor Gallons Selling Price per Gallon Vanilla Chocolate 318,000 $ 1.90 Variable Costs per Gallon $ 1.20 Gallons Selling Price per Gallon Variable Costs per Gallon 258,000 $ 1.75 $ 1.10 397,500 2.80 1.90 367,500 2.65 1.80 Strawberry Anchovy 265,000 2.45 1.35 395,000 2.65 1.40 79,500 3.80 2.30 199,500 4.30 2.50 Required: 1. Compute these variances for the individual flavors and total quantity sold. (Use the Contribution Margin in your calculations and do not round intermediate calculations.)

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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Margot's Ice Cream operates several stores in a major metropolitan city and its suburbs. Its budget and operating data for the current year follow: Flavor Gallons Budgeted Data Selling Price per Gallon Actual Operating Results Vanilla 324,000 $ 1.95 Variable Costs per Gallon $ 1.25 Selling Price per Variable Costs per Gallons Gallon Gallon 264,000 $ 1.80 $ 1.15 Chocolate 405,000 2.90 2.00 375,000 2.75 1.90 Strawberry Anchovy 270,000 2.50 1.40 400,000 2.70 1.45 81,000 3.90 2.40 201,000 4.40 2.60 Required: 1. Compute these variances for the individual flavors and total quantity sold. (Use the Contribution Margin in your calculations and do not round intermediate calculations.) a. b. C. Flavor Sales Volume Variance Sales Mix Variance Sales Quantity Variance Vanilla Chocolate Strawberry Unfavorable Unfavorable Favorable Unfavorable Favorable Unfavorable Favorable Favorable Favorable Anchovy Favorable Favorable Favorable Total Favorable Favorable Favorable
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Margot's Ice Cream operates several stores in a major metropolitan city and its suburbs. Its budget and operating data for the current year follow: Budgeted Data Selling Price per Costs per Gallon Actual Operating Results Selling Variable Price per Costs per Gallon $ 0.65 Variable Flavor Gallons 264,000 330,000 220,000 66,000 Gallon Gallons Gallon Vanilla Chocolate Strawberry Anchovy $ 1.45 $ 0.75 204,000 300,000 350,000 186,000 $ 1.30 1.75 2.20 1.90 2.00 1.00 0.90 0.90 0.95 2.90 1.40 3.40 1.60 Required: 1. Compute these variances for the individual flavors and total quantity sold. (Use the Contribution Margin in your calculations and do not round intermediate calculations.) b. Flavor Sales Volume Variance Sales Mix Variance Sales Quantity Variance. Vanilla Chocolate Strawberry Anchovy Total
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