Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4] Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company's operations in July appear below: Flights (q) Revenue ($345.00q) Vulcan Flyovers Operating Data For the Month Ended July 31 Expenses: Wages and salaries ($3,500 + $90.00g) Fuel ($33.00g) Airport fees ($830 + $30.00q) Aircraft depreciation ($8.00q) Office expenses ($240 + $1.00q) Total expense Net operating income Actual Results 57 $ 16,100 8,590 2,045 2,395 456 465 13,951 $ 2,149 Flexible Budget 57 $ 19,665 8,630 1,881 2,540 456 297 13,804 $ 5,861 Planning Budget 55 $ 18,975 8,450 1,815 2,480 440 295 13,480 $ 5,495 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (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.)

Exercise 9-4 (Algo) Prepare a Flexible Budget Performance Report [LO9-4] Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company's operations in July appear below: Flights (q) Revenue ($345.00q) Vulcan Flyovers Operating Data For the Month Ended July 31 Expenses: Wages and salaries ($3,500 + $90.00g) Fuel ($33.00g) Airport fees ($830 + $30.00q) Aircraft depreciation ($8.00q) Office expenses ($240 + $1.00q) Total expense Net operating income Actual Results 57 $ 16,100 8,590 2,045 2,395 456 465 13,951 $ 2,149 Flexible Budget 57 $ 19,665 8,630 1,881 2,540 456 297 13,804 $ 5,861 Planning Budget 55 $ 18,975 8,450 1,815 2,480 440 295 13,480 $ 5,495 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (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.)

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter23: Flexible Budgeting (flexbud)

Section: Chapter Questions

Problem 4R

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Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company’s operations in July appear below: Vulcan FlyoversOperating DataFor the Month Ended July 31 Actual ResultsFlexible BudgetPlanning BudgetFlights (q)484850Revenue ($320.00q)$ 13,650$ 15,360$ 16,000Expenses: Wages and salaries ($4,000 + $82.00q)8,4307,9368,100Fuel ($23.00q)1,2601,1041,150Airport fees ($650 + $38.00q)2,3502,4742,550Aircraft depreciation ($7.00q)336336350Office expenses ($190 + $2.00q)460286290Total expense12,83612,13612,440Net operating income$ 814$ 3,224$ 3,560 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (Indicate the effect of each variance by selecting…
At the beginning of the period, the Cutting Department budgeted direct labor of P155,000, direct material of P165,000 and fixed factory overhead of P15,000 for 9,000 hours of production. The department actually completed 10,000 hours of production. What is the appropriate total budget for the department, assuming it uses flexible budgeting? * A. P416,000 B. P370,556 C. P368,889 D. P335,000
Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company’s operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Actual Results Flexible Budget Planning Budget Flights (q) 53 53 51 Revenue ($340.00q) $ 16,100 $ 18,020 $ 17,340 Expenses: Wages and salaries ($3,500 + $86.00q) 8,026 8,058 7,886 Fuel ($34.00q) 1,964 1,802 1,734 Airport fees ($830 + $33.00q) 2,479 2,579 2,513 Aircraft depreciation ($10.00q) 530 530 510 Office expenses ($220 + $1.00q) 441 273 271 Total expense 13,440 13,242 12,914 Net operating income $ 2,660 $ 4,778 $ 4,426 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. Required: 1. Prepare a flexible budget performance report for July that includes revenue and spending…
Vulcan Flyovers offers scenic overflights of Mount Saint Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company’s operations in July appear below: Vulcan Flyovers Operating Data For the Month Ended July 31 Actual Results Flexible Budget Planning Budget Flights (q) 53 53 51 Revenue ($355.00q) $ 16,300 $ 18,815 $ 18,105 Expenses: Wages and salaries ($3,600 + $92.00q) 8,432 8,476 8,292 Fuel ($31.00q) 1,811 1,643 1,581 Airport fees ($880 + $34.00q) 2,572 2,682 2,614 Aircraft depreciation ($11.00q) 583 583 561 Office expenses ($200 + $1.00q) 421 253 251 Total expense 13,819 13,637 13,299 Net operating income $ 2,481 $ 5,178 $ 4,806 The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. 1. Prepare a flexible budget performance report for July that includes revenue and spending variances and…
Q12 Gourmet Aroma Coffee House has an exclusive contract with Columbia exporters. Two brands of gourmet coffee are imported, Morning Thunder (MT) and Evening Tender (ET). The following data are provided for the current fiscal year: Budgeted Operating Results MT ET MT ET Price per pound $ 60 $ 90 $ 70 $ 85 Variable cost per pound 30 54 32 60 Sales (in pounds) 3,300 3,300 3,192 4,408 The total market was estimated to be 73,000 pounds at the time of budget. The actual total market for the year is 68,000 pounds. What is MT's contribution margin sales volume variance? Multiple Choice $3,240 unfavorable. $26,200 favorable. $3,480 unfavorable. $25,400 favorable. $26,440 favorable.
Required information Use the following information for the Problems below. (Algo) Skip to question [The following information applies to the questions displayed below.] Phoenix Company reports the following fixed budget. It is based on an expected production and sales volume of 15,300 units. PHOENIX COMPANY Fixed Budget For Year Ended December 31 Sales $ 3,213,000 Costs Direct materials 1,009,800 Direct labor 244,800 Sales staff commissions 61,200 Depreciation—Machinery 300,000 Supervisory salaries 197,000 Shipping 229,500 Sales staff salaries (fixed annual amount) 245,000 Administrative salaries 534,920 Depreciation—Office equipment 198,000 Income $ 192,780 Problem 21-1A (Algo) Preparing and analyzing a flexible budget LO P1 Required:1&2. Prepare flexible budgets at sales volumes of 14,300 and 16,300 units.3. The company’s business conditions are improving. One possible result is a sales volume of 18,300 units. Prepare a simple budgeted…
At the beginning of the period, the Cutting Department budgeted direct labor of $125,000, direct materials of $155,000 and fixed factory overhead of $10,400 for 8,000 hours of production. The department actually completed 10,600 hours of production. The appropriate total budget for the department, assuming it uses flexible budgeting, is Round your final answer to the nearest dollar. Do not round interim calculations. a.$290,400 b.$293,780 c.$381,400 d.$384,780
Q40 Gourmet Aroma Coffee House has an exclusive contract with Columbia exporters. Two brands of gourmet coffee are imported, Morning Thunder (MT) and Evening Tender (ET). The following data are provided for the current fiscal year: Budgeted Operating Results MT ET MT ET Price per pound $ 40 $ 70 $ 50 $ 65 Variable cost per pound 20 42 23 46 Sales (in pounds) 4,600 4,600 4,386 5,814 The total market was estimated to be 76,000 pounds at the time of budget. The actual total market for the year is 71,000 pounds. What is the firm's total sales mix variance? Multiple Choice $14,472 favorable. $2,530 unfavorable. $5,712 favorable. $6,072 unfavorable. $10,432 favorable.
At the beginning of the period, the Cutting Department budgeted direct labor of $138,000, direct materials of $154,000 and fixed factory overhead of $14,000 for 7,300 hours of production. The department actually completed 11,700 hours of production. What is the appropriate total budget for the department, assuming it uses flexible budgeting? Round your final answer to the nearest dollar. Do not round interim calculations. a. $490,438 b. $482,000 c. $306,000 d. $314,438
Please give solution All sales of Paige Company are on account. Budgeted sales for the first quarter of 200B are:January P96,000February 168,800March 158,400 Based on the company’s collection experience, 60% of the sales is collected in the month after the sale, 36% is collected in the second month following the sale, and the balance is uncollectible. The budgeted cash receipts for March isa.P118,368b.P158,304c.P155,808d.P135,840
Problem 8-29 (Algo) Completing a Master Budget [LO8-2, LO8-4, LO8-7, LO8-8, LO8-9, LO8-10]The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: Current assets as of March 31: Cash $ 9,200Accounts receivable $ 26,800Inventory $ 49,800Building and equipment, net $ 104,400Accounts payable $ 29,925Common stock $ 150,000Retained earnings $ 10,275The gross margin is 25% of sales.Actual and budgeted sales data:March (actual) $ 67,000April $ 83,000May $ 88,000June $ 113,000July $ 64,000Sales are 60% for cash and 40% on credit. Credit sales are collected in the month following sale. The accounts receivable at March 31 are a result of March credit sales.Each month’s ending inventory should equal 80% of the following month’s budgeted cost of goods sold.One-half of a month’s inventory purchases is paid for in the month of purchase; the other half is paid for in the following month. The accounts payable at…
Please answer req part 4 and 5 in its entirety, per the images attached Problem 8-29 (Algo) Completing a Master Budget [LO8-2, LO8-4, LO8-7, LO8-8, LO8-9, LO8-10] The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: Current assets as of March 31: Cash $ 7,300 Accounts receivable $ 19,200 Inventory $ 38,400 Building and equipment, net $ 124,800 Accounts payable $ 22,800 Common stock $ 150,000 Retained earnings $ 16,900 The gross margin is 25% of sales. Actual and budgeted sales data: March (actual) $ 48,000 April $ 64,000 May $ 69,000 June $ 94,000 July $ 45,000 Sales are 60% for cash and 40% on credit. Credit sales are collected in the month following sale. The accounts receivable at March 31 are a result of March credit sales. Each month’s ending inventory should equal 80% of the following month’s budgeted cost of goods sold. One-half of a month’s inventory purchases is paid…