TB Problem Qu. 9-375 (Algo) Varcoe Corporation bases its budgets on... Varcoe Corporation bases its budgets on the activity measure customers served. During September, the company planned to serve 36,500 customers, but actually served 31,500 customers. Revenue is $3.93 per customer served. Wages and salaries are $35,400 per month plus $1.33 per customer served. Supplies are $0.63 per customer served. Insurance is $9,600 per month. Miscellaneous expenses are $7,700 per month plus $0.33 per customer served. Required: Prepare a report showing the company's activity variances for September. Indicate in each case whether the variance is 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 and enter any losses with a minus sign.) Varcoe Corporation Activity Variances For the Month Ended September 30 Flexible Planning
TB Problem Qu. 9-375 (Algo) Varcoe Corporation bases its budgets on... Varcoe Corporation bases its budgets on the activity measure customers served. During September, the company planned to serve 36,500 customers, but actually served 31,500 customers. Revenue is $3.93 per customer served. Wages and salaries are $35,400 per month plus $1.33 per customer served. Supplies are $0.63 per customer served. Insurance is $9,600 per month. Miscellaneous expenses are $7,700 per month plus $0.33 per customer served. Required: Prepare a report showing the company's activity variances for September. Indicate in each case whether the variance is 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 and enter any losses with a minus sign.) Varcoe Corporation Activity Variances For the Month Ended September 30 Flexible Planning
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:TB Problem Qu. 9-375 (Algo) Varcoe Corporation bases its budgets on...
Varcoe Corporation bases its budgets on the activity measure customers served. During September, the company planned to serve
36,500 customers, but actually served 31,500 customers. Revenue is $3.93 per customer served. Wages and salaries are $35,400 per
month plus $1.33 per customer served. Supplies are $0.63 per customer served. Insurance is $9,600 per month. Miscellaneous
expenses are $7,700 per month plus $0.33 per customer served.
Required:
Prepare a report showing the company's activity variances for September. Indicate in each case whether the variance is 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 and enter any losses with a minus sign.)
Customers served
Revenue
Expenses:
Wages and salaries
Supplies
Insurance
Miscellaneous expense
Total expense
Net operating income (loss)
Varcoe Corporation
Activity Variances
For the Month Ended September 30
Flexible
Planning
Budget
Budget
31,500
36,500
Activity Variances
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