Mist, Inc. provides free meals in an employee cafeteria for its employees. The employee cafeteria budgeted $37 of variable expenses per employee fo the month of December, calculated using a budgeted average of 1,400 employees. During December, an average of 1,380 employees were actually working in the various operating departments. The actual variable expenses incurred by the employee cafeteria totaled $56,700 for the month. For performance evaluation purposes at the end of December, how much variable expenses from the cafeteria should Mist, Inc. charge to the operating departments? Multiple Choice $51,800 $56,700 O $51,060 $57,452

Mist, Inc. provides free meals in an employee cafeteria for its employees. The employee cafeteria budgeted $37 of variable expenses per employee fo the month of December, calculated using a budgeted average of 1,400 employees. During December, an average of 1,380 employees were actually working in the various operating departments. The actual variable expenses incurred by the employee cafeteria totaled $56,700 for the month. For performance evaluation purposes at the end of December, how much variable expenses from the cafeteria should Mist, Inc. charge to the operating departments? Multiple Choice $51,800 $56,700 O $51,060 $57,452

Name: Mist, Inc. provides free meals in an employee cafeteria for its emplo
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: Mist, Inc. provides free meals in an employee cafeteria for its employees. Theemployee cafeteria budgeted $37 of variable expenses per employee fo the month ofDecember, calculated using a budgeted average of 1,400 employees. DuringDecember, an avera

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

Trevorrow Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During June, the company budgeted for 6,200 units, but its actual level of activity was 6,160 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for June: Data used in budgeting: Fixed element Variable element per month per unit Revenue $ 0 $ 0 $ 27.80 $ 3.10 Direct labor Direct materials 10.20 Manufacturing overhead 37,200 1.10 Selling and administrative expenses 22,800 0.30 Total expenses $ 60,000 $ 14.70 Actual results for June: Revenue $ 178,318 $ 18,606 $ 60,652 $ 43,896 $ 24,688 Direct labor Direct materials Manufacturing overhead Selling and administrative expenses The activity variance for net operating income in June would be closest to:
Mountain Trails manufactures backpacks for adventurers. Management is preparing budgets for the month, and is trying to determine the Overhead Budget amounts. Variable overhead is budgeted to be incurred at a rate of $5 per direct labor hour (including utilities, indirect materials, and indirect labor). Budgeted direct labor hours are 6,300 hours for the period. Fixed overhead amounts include the following: Factory rent $5,000; Factory supervisor salary $8,400; Depreciation $11,200; Insurance $2,100; and Factory security $3,500. What is the predetermined overhead rate (applied on the basis of direct labor hours? (Round to 3 decimal places) Select one: a. $16.666 b. $5.000 C. $4.794 O d. $11.666 e. None of these options are correct.
Leist Clinic uses client-visits as its measure of activity. During September, the clinic budgeted for 2,200 client-visits, but its actual level of activity was 2,170 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting: Fixed element per month Variable element per client-visit Revenue $ 0 $ 50.80 Personnel expenses $ 26,600 $ 15.60 Medical supplies 1,400 9.40 Occupancy expenses 7,600 2.40 Administrative expenses 5,300 0.10 Total expenses $ 40,900 $ 27.50 The occupancy expenses in the flexible budget for September would be closest to: Multiple Choice A. $13,215 B. 12,808 C. $13,583 D. $12,880
Arrasmith Corporation uses customers served as its measure of activity. During February, the company budgeted for 35,500 customers, but actually served 31,000 customers. The company uses the following revenue and cost formulas in its budgeting, where q is the number of customers served: Revenue: $4.00q Wages and salaries: $33,700 + $1.25q Supplies: $0.65q Insurance: $10,900 Miscellaneous expenses: $6,900 + $0.35q The company reported the following actual results for February: $129,800 $ 68,500 $ 14,900 $ 10,900 $ 20,200 Revenue Wages and salaries Supplies Insurance Miscellaneous expense Required: Prepare the company's flexible budget performance report for February. Label each variance as favorable (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 positive values.)
Trevorrow Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During June, the company budgeted for 5,900 units, but its actual level of activity was 5,860 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for June: Data used in budgeting: Fixed element per month Variable element per unit Revenue $ 0 $ 29.30 Direct labor $ 0 $ 3.90 Direct materials 0 10.00 Manufacturing overhead 39,000 1.20 Selling and administrative expenses 24,600 0.40 Total expenses $ 63,600 $ 15.50 Actual results for June: Revenue $ 176,358 Direct labor $ 22,310 Direct materials $ 56,330 Manufacturing overhead $ 45,917 Selling and administrative expenses $ 26,989 The overall revenue and spending variance (i.e., the variance for net operating income in the revenue and spending variance column on the flexible budget…
Herrod Catering uses two measures of activity, jobs and meals, in the cost formulas in its budgets and performance reports. The cost formula for catering supplies is $460 per month plus $106 per job plus $26 per meal. A typical job involves serving a number of meals to guests at a corporate function or at a host's home. The company expected its activity in December to be 16 jobs and 126 meals, but the actual activity was 10 jobs and 109 meals. The actual cost for catering supplies in December was $4,850. The spending variance for catering supplies in December would be closest to: Multiple Choice O O O $582 U $582 F $496 U $496 F
Ayayai Company budgeted selling expenses of $37.200 in January, $43,400 in February, and $49,600 in March. Actual selling expenses were $38,600 in January, $42,800 in February, and $57,040 in March. The company considers any difference that is less than 5% of the budgeted amount to be immaterial. Prepare a selling expense report that compares budgeted and actual amounts by month and for the year to date. Month January February March $ $ $ Budget $ $ Actual By Month $ $ $ Difference P
Mist, Inc. provides free meals in an employee cafeteria for its employees. The employee cafeteria budgeted $32 of variable expenses per employee for the month of December, calculated using a budgeted average of 1,650 employees. During December, an average of 1,630 employees were actually working in the various operating departments. The actual variable expenses incurred by the employee cafeteria totaled $54,200 for the month. For performance evaluation purposes at the end of December, how much variable expenses from the cafeteria should Mist, Inc. charge to the operating departments? Multiple Choice $54,852 $54,200 $52.160 $52,800
Prepare a budget performance report for the manager of the Eastern District of Adelson for the month of December. Enter all amounts as positive numbers. If an amount box does not require an entry, leave it blank, or enter zero "0". Adelson Inc. Budget Performance Report-Manager, Eastern District For the Month Ended December 31
Piechocki Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During May, the company budgeted for 6,400 units, but its actual level of activity was 6,350 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting: Fixed element per month Variable element per unit Revenue $ 0 $ 33.90 Direct labor $ 0 $ 5.90 Direct materials 0 13.50 Manufacturing overhead 34,000 1.40 Selling and administrative expenses 25,200 0.60 Total expenses $ 59,200 $ 21.40 Actual results for May: Revenue $ 216,300 Direct labor $ 36,930 Direct materials $ 86,900 Manufacturing overhead $ 42,000 Selling and administrative expenses $ 30,440 The revenue variance for May would be closest to:
At the beginning of the period, the Cutting Department budgeted direct labor of $57,120 and supervisor salaries of $45,420 for 3,360 hours of production. The department actually completed 3,700 hours of production. Determine the budget for the department assuming that it uses flexible budgeting.$
Kirnon Clinic uses client-visits as its measure of activity. During July, the clinic budgeted for 2,000 client-visits, but its actual level of activity was 2,010 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting: Fixed element per month Variable element per client-visit Revenue $ 0 $ 43.70 Personnel expenses $ 26,100 $ 12.10 Medical supplies 1,000 6.30 Occupancy expenses 6,800 1.60 Administrative expenses 3,000 0.20 Total expenses $ 36,900 $ 20.20 The activity variance for net operating income in July would be closest to: Multiple Choice A. $235 F B. $235 U C. $2,825 F D. $2,825 U