The total budget cost allowances (to the nearest $) for the following cost - RECEPTION for period 9 JKL Hotel operates a budgeting system and budgets expenditure over eight budget centres as shown below. Analysis of past expenditure patterns indicates that variable costs in some budget centres vary according to occupied room nights (ORN), while in others the variable proportion of costs varies according to the number of visitors (V). The budgeted expenditures for a period with 2,000 ORN and 4,300 V were as follows: Budget centre Cleaning Laundry Reception Maintenance Housekeeping Administration Catering Overheads Variable costs vary with: Cleaning Laundry Reception Maintenance Housekeeping Administration Catering Overheads ORN V ORN ORN V ORN V Budgeted expenditure Budget notes: $ 13.250 $2.50 per ORN 15,025 $1.75 per V 13,100 $12,100 fixed 11,100 $0.80 per ORN 19,600 $11,000 fixed 7,700 $0.20 per ORN 21,460 $2.20 per V 11,250 all fixed 112,485 In period 9, with 1,850 ORN and 4,575 v, actual expenditures were as follows: Budget centre Actual expenditure $ 13,292 14,574 13,855 10,462 19,580 7,930 23,053 11,325 114,071

The total budget cost allowances (to the nearest $) for the following cost - RECEPTION for period 9 JKL Hotel operates a budgeting system and budgets expenditure over eight budget centres as shown below. Analysis of past expenditure patterns indicates that variable costs in some budget centres vary according to occupied room nights (ORN), while in others the variable proportion of costs varies according to the number of visitors (V). The budgeted expenditures for a period with 2,000 ORN and 4,300 V were as follows: Budget centre Cleaning Laundry Reception Maintenance Housekeeping Administration Catering Overheads Variable costs vary with: Cleaning Laundry Reception Maintenance Housekeeping Administration Catering Overheads ORN V ORN ORN V ORN V Budgeted expenditure Budget notes: $ 13.250 $2.50 per ORN 15,025 $1.75 per V 13,100 $12,100 fixed 11,100 $0.80 per ORN 19,600 $11,000 fixed 7,700 $0.20 per ORN 21,460 $2.20 per V 11,250 all fixed 112,485 In period 9, with 1,850 ORN and 4,575 v, actual expenditures were as follows: Budget centre Actual expenditure $ 13,292 14,574 13,855 10,462 19,580 7,930 23,053 11,325 114,071

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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