Via Gelato, a popular neighborhood gelato shop, provided the following cost formulas and actual results for the month of June: Fixed Element per Month Variable Element per Actual Total Liter for June Revenue $ 22.00 $ 130,540 Raw materials Wages $ 5.65 $ 35,930 $ 6,600 $ 2.40 $ 21,000 Utilities $ 2,630 $ 1.20 $ 10,500 Rent $ 3,600 Insurance $ 2.350 Miscellaneous $ 750 1.35 $ 3,600 $2,350 $ 8,590 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $6,600 plus $2.40 per liter of gelato sold and the actual wages for June were $21,000. Via Gelato expected to sell 6,000 liters in June but actually sold 6,200 liters. Required: Calculate Via Gelato's revenue and spending variances for June. Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect

Via Gelato, a popular neighborhood gelato shop, provided the following cost formulas and actual results for the month of June: Fixed Element per Month Variable Element per Actual Total Liter for June Revenue $ 22.00 $ 130,540 Raw materials Wages $ 5.65 $ 35,930 $ 6,600 $ 2.40 $ 21,000 Utilities $ 2,630 $ 1.20 $ 10,500 Rent $ 3,600 Insurance $ 2.350 Miscellaneous $ 750 1.35 $ 3,600 $2,350 $ 8,590 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $6,600 plus $2.40 per liter of gelato sold and the actual wages for June were $21,000. Via Gelato expected to sell 6,000 liters in June but actually sold 6,200 liters. Required: Calculate Via Gelato's revenue and spending variances for June. Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 1PB: A company sells mulch by the cubic yard. Grade A much sells for $150 per cubic yard and has variable...

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Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Liter Fixed Element per Month Variable Element per Actual Total for June Revenue $ 27.00 $ 160,540 Raw materials $ 6.15 $ 38,430 Wages $ 7,100 $ 2.90 $ 24,900 Utilities $ 3,130 $ 1.70 $ 14,200 Rent $ 4,100 $ 4,100 Insurance Miscellaneous $ 2,850 $ 2,850 $ 800 $ 1.85 $ 11,790 Ch While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $7,100 plus $2.90 per liter of gelato sold and the actual wages for June were $24,900. Via Gelato expected to sell 6,000 liters in June, but actually sold 6,200 liters. Required: Calculate Via Gelato revenue and spending variances for June. (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.)…
Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Fixed Element per Month Variable Element per Liter Actual Total for June Revenue $ 20.00 $122,540 Raw materials $ 5.45 $ 36,030 Wages $ 6,400 $ 2.20 $ 20,200 Utilities $ 2,430 $ 1.00 $ 9,100 Rent $3,400 $3,400 Insurance $ 2,150 $2,150 Miscellaneous $ 730 $ 1.15 $ 8,050 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $6,4 00 plus $2.20 per liter of gelato sold and the actual wages for June were $20,200. Via Gelato expected to sell 6,300 liters in June, but actually sold 6,500 liters. Required: Calculate Via Gelato revenue and spending variances for June. (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.)
Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Fixed Element per Month Variable Element per Liter Actual Total for June Revenue $ 18.00 $ 110,530 Raw materials $ 5.25 $ 33,730 Wages $ 6,200 $ 2.00 $ 18,900 Utilities $ 2,230 $ 0.80 $ 7,550 Rent $ 3,200 $ 3,200 Insurance $ 1,950 $ 1,950 Miscellaneous $ 710 $ 0.95 $ 6,670 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $6,200 plus $2.00 per liter of gelato sold and the actual wages for June were $18,900. Via Gelato expected to sell 6,200 liters in June, but actually sold 6,400 liters. Required: Calculate Via Gelato revenue and spending variances for June. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input…
A company sells mulch by the cubic yard. Grade A much sells for $150 per cubic yard and has variable costs of $65 per cubic yard. The company has fixed expenses of $15,000 per month. In August, the company sold 240 cubic yards of Grade A mulch. A. Calculate the contribution margin per unit for Grade A mulch. B. Calculate the contribution margin ratio of the Grade A mulch. C. Prepare a contribution margin income statement for the month of August.
Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Fixed Variable Element Element per Liter per Month Revenue $ 25.00 Raw materials Wages $ 6,900 $5.95 $ 2.70 Utilities Rent $ 2,930 $ 3,900 $ 1.50 Insurance $,2,650 Miscellaneous $ 780 Actual Total for June $ 151,540 $ 39,030 $ 23,500 $13,000 $ 3,900 $ 2,650 1.65 $ 10,890 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $6,900 plus $2.70 per liter of gelato sold and the actual wages for June were $23,500. Via Gelato expected to sell 6,200 liters in June, but actually sold 6,400 liters. Required: Calculate Via Gelato revenue and spending variances for June. (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…
Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Fixed Element per Month Variable Element per Actual Total Liter for June Revenue $ 30.00 $ 190,540 Raw materials $ 6.45 $ 42,930 Wages $ 7,400 $ 3.20 $ 28,400 Utilities $ 3,430 $ 2.00 $ 17,300 Rent $ 4,400 $ 4,400 Insurance $ 3,150 $ 3,150 Miscellaneous $ 830 $ 2.15 $ 14,390 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $7,400 plus $3.20 per liter of gelato sold and the actual wages for June were $28,400. Via Gelato expected to sell 6,400 liters in June, but actually sold 6,600 liters. Required: Calculate Via Gelato revenue and spending variances for June. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (l.e., zero variance). Input all amounts as positive values.)…
D8.
Following is relevant information for Philly's Sandwich Shop, a small business that serves sandwiches: Total fixed cost per month Variable cost per sandwich $1,020.00 1.50 Sales price per sandwich 5.75 During the month of June, Philly's sold 580 sandwiches. Required: Complete the contribution margin income statement for the month of June. Note: Round your final answers to the nearest whole dollar. Philly's Sandwich Shop Contribution Margin Income Statement Month of June Contribution margin Net Operating income
Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Fixed Element Variable Element Actual Total per Liter $ 20.00 $ 5.45 $ 2.20 $ 1.00 per Month for June $ 122,540 $ 36,030 $ 20,200 Revenue Raw materials $ 6,400 $ 2,430 $ 3,400 $ 2,150 $ Wages Utilities $4 9,100 Rent $4 3,400 Insurance $ 2,150 Miscellaneous 730 $ 1.15 $4 8,050 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $6,400 plus $2.20 per liter of gelato sold and the actual wages for June were $20,200. Via Gelato expected to sell 6,300 liters in June, but actually sold 6,500 liters. Required: Calculate Via Gelato revenue and spending variances for June. (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.)
Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Fixed Variable Element per Actual Total Liter Element per Month for June $ 31.00 $ 6.55 $ 3.30 $ 2.10 $ 191,540 $ 42,830 $ 28,000 $ 17,400 $ 4,500 $ 3,250 $ 14,690 Revenue Raw materials $ 7,500 $ 3,530 $ 4,500 $ 3,250 $ 840 Wages Utilities Rent Insurance Miscellaneous $ 2.25 While gelato is sold by the cone or cup, the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $7,500 plus $3.30 per liter of gelato sold and the actual wages for June were $28,000. Via Gelato expected to sell 6,200 liters in June, but actually sold 6,400 liters. Required: Calculate Via Gelato revenue and spending variances for June. (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.)
Via Gelato is a popular neighborhood gelato shop. The company has provided the following cost formulas and actual results for the month of June: Fixed Element Variable Element Actual Total per Liter $ 17.00 $ 5.15 $ 1.90 $ 8.70 for June $ 99,540 $ 32,730 $ 17,900 7,000 3,100 1,850 5,800 per Month Revenue Raw materials $ 6,100 $ 2,130 $ 3,100 $ 1,850 700 Wages Utilities Rent Insurance Miscellaneous $ 0.85 While gelato is sold by the cone or cup. the shop measures its activity in terms of the total number of liters of gelato sold. For example, wages should be $6.100 plus $1.90 per liter of gelato sold and the actual wages for June were $17,900. Via Gelato expected to sell 6.100 liters in June, but actually sold 6,300 liters. Required: Calculate Via Gelato revenue and spending variances for June. (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (I.e., zero varlance). Input all amounts as positive values.) Via Gelato…