Required: Calculate the company's revenue and spending variances for August. Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zer variance). Input all amounts as positive values. Revenue Expenses: Quilcene Oysteria Revenue and Spending Variances For the Month Ended August 31 Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other
Required: Calculate the company's revenue and spending variances for August. Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zer variance). Input all amounts as positive values. Revenue Expenses: Quilcene Oysteria Revenue and Spending Variances For the Month Ended August 31 Packing supplies Oyster bed maintenance Wages and salaries Shipping Utilities Other
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 9E: Nozama.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost...
Related questions
Question
![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](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F84be77e3-7e2a-48d9-923c-45508700aa71%2Fe4029b45-fc37-4289-83c0-39af1747f6c1%2Fj7unke_processed.png&w=3840&q=75)
Transcribed Image Text: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
![Required:
Calculate the company's revenue and spending variances for August.
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:
Quilcene Oysteria
Revenue and Spending Variances
For the Month Ended August 31
Packing supplies
Oyster bed maintenance
Wages and salaries
Shipping
Utilities
Other
Total expenses
Net operating income](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F84be77e3-7e2a-48d9-923c-45508700aa71%2Fe4029b45-fc37-4289-83c0-39af1747f6c1%2Fu2yot2_processed.png&w=3840&q=75)
Transcribed Image Text:Required:
Calculate the company's revenue and spending variances for August.
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:
Quilcene Oysteria
Revenue and Spending Variances
For the Month Ended August 31
Packing supplies
Oyster bed maintenance
Wages and salaries
Shipping
Utilities
Other
Total expenses
Net operating income
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub