red wor Bear Diner is a charity supported by donations that provides free meals to the homeless. The diner's budget for the year was based on 2,600 meals, but the diner actually served 2.278 meals. The diner's director has provided the following cost formulas used in this year's original planning (static) budget Groceries Kitchen operations Administrative expenses Fundraising expenses Bear Diner Statement of Expenses For the Year Ended December 31. XXXX Actual meals Groceries Kitchen operations Fixed element per month $0 $4,500 $2,900 $1,300 The director has also provided the diner's statement of actual expenses for the year 4 Administrative expenses Fundraising expenses Variable element per customer $3.61 101 margin of error 2 $1.19 $0.57 $0.00 2,200 $7.950 $7,110 $4,230 $1.270 $20.560 Total expense What is the spending variance for kitchen operations? Report favorable as a positive amount and unfavorable as a negative amount. Round to a whole number.

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter7: Allocating Costs Of Support Departments And Joint Products
Section: Chapter Questions
Problem 30E: A company uses charging rates to allocate service department costs to the using departments. The...
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Bear Diner is a charity supported by donations that provides free meals to the homeless. The diner's budget for the year was
based on 2,600 meals, but the diner actually served 2,278 meals. The diner's director has provided the following cost formulas
used in this year's original planning (static) budget:
Groceries
Kitchen operations
Administrative expenses
Fundraising expenses
Fixed
Variable
element per element per
month
$0
Actual meals
Groceries
Kitchen operations
$4,500
$2,900
$1,300
Bear Diner
Statement of Expenses
For the Year Ended December 31, XXXX
The director has also provided the diner's statement of actual expenses for the year:
4
101 margin of error 2
customer
$3.61
$1.19
$0.57
$0.00
2,200
$7,950
$7,110
$4,230
$1.270
$20.560
Administrative expenses
Fundraising expenses
Total expense
What is the spending variance for kitchen operations? Report favorable as a positive amount and unfavorable as a negative
amount. Round to a whole number.
Transcribed Image Text:You Answered Correct Answer Bear Diner is a charity supported by donations that provides free meals to the homeless. The diner's budget for the year was based on 2,600 meals, but the diner actually served 2,278 meals. The diner's director has provided the following cost formulas used in this year's original planning (static) budget: Groceries Kitchen operations Administrative expenses Fundraising expenses Fixed Variable element per element per month $0 Actual meals Groceries Kitchen operations $4,500 $2,900 $1,300 Bear Diner Statement of Expenses For the Year Ended December 31, XXXX The director has also provided the diner's statement of actual expenses for the year: 4 101 margin of error 2 customer $3.61 $1.19 $0.57 $0.00 2,200 $7,950 $7,110 $4,230 $1.270 $20.560 Administrative expenses Fundraising expenses Total expense What is the spending variance for kitchen operations? Report favorable as a positive amount and unfavorable as a negative amount. Round to a whole number.
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