7. Determining Budget Variances. Fran Bowen created the following budget: Food, $350 Transportation, $320 Housing, $950 She actually spent $298 for food, $337 for transportation, $982 for housing, $134 for clothing, and $231 for personal expenses and recreation. Calculate the variance for each of these categories, and indicate whether it was a deficit or a LO3-3 Clothing, $100 Personal expenses and recreation, $275 surplus.

7. Determining Budget Variances. Fran Bowen created the following budget: Food, $350 Transportation, $320 Housing, $950 She actually spent $298 for food, $337 for transportation, $982 for housing, $134 for clothing, and $231 for personal expenses and recreation. Calculate the variance for each of these categories, and indicate whether it was a deficit or a LO3-3 Clothing, $100 Personal expenses and recreation, $275 surplus.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 1CMA: Taylor Corporation is analyzing the cost behavior of three cost items, A, B, and C, to budget for...

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