Flight Café prepares in-flight meals for airlines and its planning budget for July appears below:Flight CaféPlanning BudgetFor the Month Ended July 31Budgeted meals (q)Revenue ($4.40q)Expenses:Raw materials ($2.10q)Wages and salaries ($6,100 + $0.20q)Utilities ($2,000 + $0.05q)Facility rent ($3,000)Insurance ($2,300)Miscellaneous ($600 + $0.10q)Total expensesNet operating incomeBudgeted meals (q)Revenue ($4.40q)27,000$ 118,800Expenses:Raw materials ($2.10q)Wages and salaries ($6,100+ $0.209)Utilities ($2,000+ $0.05q)Facility rent ($3,000)Insurance ($2,300)Miscellaneous ($600 + $0.10q)Total expensesNet operating income56,70011,500In July, 28,000 meals were actually served. The company's flexible budget for this level of activity appears below:Flight CaféFlexible BudgetFor the Month Ended July 313,3503,0002,3003,30080,150$ 38,65028,000$ 123,20058,80011,7003,4003,0002,3003,40082,600$ 40,600 Required:1. Calculate the company's activity variances for July.Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zerovariance). Input all amounts as positive values.RevenueExpenses:Raw materialsWages and salariesUtilitiesFacility rentInsuranceMiscellaneousTotal expensesNet operating incomeFlight CaféActivity VariancesFor the Month Ended July 31

The activity variance is the difference between flexible budget data and planning budget data. The…

Required: 1. Calculate the company's activity variances 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. Revenue Expenses: Raw materials Wages and salaries Utilities Facility rent Flight Café Activity Variances For the Month Ended July 31

Required: 1. Calculate the company's activity variances 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. Revenue Expenses: Raw materials Wages and salaries Utilities Facility rent Flight Café Activity Variances For the Month Ended July 31

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

please answer complete and correct and correct with full working please please answer in text respected expert provide fully explained , computed and formulated answer or skip thanks . Attempt if you can answer correctly without copy paste from other answer otherwise skip but please please do not waste my question or time by giving incomplete or incorrect answer thanks
Please do not give solution in image format thanku
Please do not give solution in image format thanku
Please do not give solution in image format thanku
AirQual Test Corporation provides on-site air quality testing services. The company has provided the following cost formulas and actual results for the month of February: Variable Fixed Component per Month Component per Job $ 277 Actual Total for February $ 27,720 $ 8,350 $ 8,370 Revenue Technician wages $ 8,500 Mobile lab operating expenses $ 4,900 $ 33 Office expenses $ 2,400 $2 $ 2,470 Advertising expenses $ 1,600 $ 1,670 Insurance $ 2,850 $ 2,850 Miscellaneous expenses $ 960 $ 1 $ 375 The company uses the number of jobs as its measure of activity. For example, mobile lab operating expenses should be $4,900 plus $33 per job, and the actual mobile lab operating expenses for February were $8,370. The company expected to work 110 jobs in February, but actually worked 120 jobs. Required: Prepare a flexible budget performance report showing AirQual Test Corporation's revenue and spending variances and activity variances for February. (Indicate the effect of each variance by selecting "F"…
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 ($340.00q) Expenses: Wages and salaries ($3,300 + $91.00q) Fuel ($32.00q) Airport fees ($850 + $31.00q) Aircraft depreciation ($10.00q) Office expenses ($210+ $1.00q) Total expenses Net operating income Actual Results 55 $ 16,100 8,263 1,926 2,410 550 433 13,582 $ 2,518 Flexible Planning Budget Budget 53 $ 18,020 55 $ 18,700 8,305 1,760 2,555 550 265 13,435 $ 5,265 8,123 1,696 2,493 530 263 13,105 $ 4,915 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane at a discount.
Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,300 pounds of oysters in August. The company's flexible budget for August appears below: Quilcene Oysteria Flexible Budget Actual pounds (q) Revenue ($4.15q) Expenses: Packing supplies ($0.35q) Oyster bed maintenance ($3,100) Wages and salaries ($2,500 + $0.35q) Shipping ($0.60q) Utilities ($1,210) For the Month Ended August 31 Other ($400 + $0.019) Total expenses Net operating income Actual pounds Revenue The actual results for August were as follows: Expenses: Quilcene Oysteria Income Statement For the Month Ended August 31 Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other Total expenses Net operating income 7,300 $ 30,295 2,555 3,100 5,055 4,380 1,210 473 16,773 $ 13,522 7,300 $ 26,600 2,725 2,960 5,465 4,110 1,020 1,093 17,373 $ 9,227
A4
Fix the red please
Please do not give solution in image format thanku
Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. 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. Flights Revenue Expenses: Wages and salaries Fuel Airport fees Aircraft depreciation Office expenses 4 Total expense Net operating income Actual Results $ $ 60 16,000 8,228 1,970 2,765 600 428 13,991 2,009 Vulcan Flyovers Flexible Budget Performance Report For the Month Ended July 31 Flexible Budget $ $ 60 21,300 8,260 1,800 2,880 600 260 13,800 7,500 $ $ Planning Budget 58 20,590 8,088 1,740 2,812 580 258 13,478 7,112
1. Prepare a report showing the conpany's activity variances for July. 2. Which of the activity variances should be of concern to management? Explain.