The following information is from Bluff Run Golf Courses. The company runs three courses and the July income statement for each course is as follows: BLUFF RUN GOLF COURSES Income Statement Month Ending July 31, 2018 Blue Course Black Course Gold Course Revenues Greens fees revenue $62,500 $89,000 $42,900 Outings revenue ? 6,000 27,000 Total revenue $74,200 $95,000 $69,900 Expenses Landscaping $7,800 $14,200 $6,300 Wages 43,900 ? 32,500 Repairs and maintenance 5,600 2,600 4,500 Fuel 3,100 3,000 1,970 Utilities 1,800 3,000 1,600 Total expenses $62,200 $78,100 $46,870 Operating income $12,000 $16,900 ? Question Content Area A. Calculate the operating income percentage for each of the courses. Round your percentages to one decimal place. Course Blue fill in the blank e7685c07af8dfbc_1% Course Black fill in the blank e7685c07af8dfbc_2% Course Gold fill in the blank e7685c07af8dfbc_3% Question Content Area B. 1. Perform a vertical analysis for each course. Round your percentages to one decimal place. Bluff Run Golf CoursesIncome StatementMonth Ending July 31, 2018 Course Blue Course Black Course Gold Revenues Greens fees revenue $62,500 $89,000 $42,900 Outings revenue fill in the blank 9b10a105d06705d_1 6,000 27,000 Total revenue $74,200 $95,000 $69,900 Expenses Landscaping $7,800 fill in the blank 9b10a105d06705d_2% $14,200 fill in the blank 9b10a105d06705d_3% $6,300 fill in the blank 9b10a105d06705d_4% Wages 43,900 fill in the blank 9b10a105d06705d_5% fill in the blank 9b10a105d06705d_6 fill in the blank 9b10a105d06705d_7% 32,500 fill in the blank 9b10a105d06705d_8% Repairs and maintenance 5,600 fill in the blank 9b10a105d06705d_9% 2,600 fill in the blank 9b10a105d06705d_10% 4,500 fill in the blank 9b10a105d06705d_11% Fuel 3,100 fill in the blank 9b10a105d06705d_12% 3,000 fill in the blank 9b10a105d06705d_13% 1,970 fill in the blank 9b10a105d06705d_14% Utilities 1,800 fill in the blank 9b10a105d06705d_15% 3,000 fill in the blank 9b10a105d06705d_16% 1,600 fill in the blank 9b10a105d06705d_17% Total expenses $62200 $78100 $46870 Operating income $12,000 $16,900 $fill in the blank 9b10a105d06705d_18 Operating income % fill in the blank 9b10a105d06705d_19% fill in the blank 9b10a105d06705d_20% fill in the blank 9b10a105d06705d_21% Question Content Area 2. Based on a vertical analysis of each course, which accounts would you want to investigate further? C. Which method of analysis (using a dollar value or percentage) is most relevant and/or useful? Why? check work and fill out the rest
The following information is from Bluff Run Golf Courses. The company runs three courses and the July income statement for each course is as follows: BLUFF RUN GOLF COURSES Income Statement Month Ending July 31, 2018 Blue Course Black Course Gold Course Revenues Greens fees revenue $62,500 $89,000 $42,900 Outings revenue ? 6,000 27,000 Total revenue $74,200 $95,000 $69,900 Expenses Landscaping $7,800 $14,200 $6,300 Wages 43,900 ? 32,500 Repairs and maintenance 5,600 2,600 4,500 Fuel 3,100 3,000 1,970 Utilities 1,800 3,000 1,600 Total expenses $62,200 $78,100 $46,870 Operating income $12,000 $16,900 ? Question Content Area A. Calculate the operating income percentage for each of the courses. Round your percentages to one decimal place. Course Blue fill in the blank e7685c07af8dfbc_1% Course Black fill in the blank e7685c07af8dfbc_2% Course Gold fill in the blank e7685c07af8dfbc_3% Question Content Area B. 1. Perform a vertical analysis for each course. Round your percentages to one decimal place. Bluff Run Golf CoursesIncome StatementMonth Ending July 31, 2018 Course Blue Course Black Course Gold Revenues Greens fees revenue $62,500 $89,000 $42,900 Outings revenue fill in the blank 9b10a105d06705d_1 6,000 27,000 Total revenue $74,200 $95,000 $69,900 Expenses Landscaping $7,800 fill in the blank 9b10a105d06705d_2% $14,200 fill in the blank 9b10a105d06705d_3% $6,300 fill in the blank 9b10a105d06705d_4% Wages 43,900 fill in the blank 9b10a105d06705d_5% fill in the blank 9b10a105d06705d_6 fill in the blank 9b10a105d06705d_7% 32,500 fill in the blank 9b10a105d06705d_8% Repairs and maintenance 5,600 fill in the blank 9b10a105d06705d_9% 2,600 fill in the blank 9b10a105d06705d_10% 4,500 fill in the blank 9b10a105d06705d_11% Fuel 3,100 fill in the blank 9b10a105d06705d_12% 3,000 fill in the blank 9b10a105d06705d_13% 1,970 fill in the blank 9b10a105d06705d_14% Utilities 1,800 fill in the blank 9b10a105d06705d_15% 3,000 fill in the blank 9b10a105d06705d_16% 1,600 fill in the blank 9b10a105d06705d_17% Total expenses $62200 $78100 $46870 Operating income $12,000 $16,900 $fill in the blank 9b10a105d06705d_18 Operating income % fill in the blank 9b10a105d06705d_19% fill in the blank 9b10a105d06705d_20% fill in the blank 9b10a105d06705d_21% Question Content Area 2. Based on a vertical analysis of each course, which accounts would you want to investigate further? C. Which method of analysis (using a dollar value or percentage) is most relevant and/or useful? Why? check work and fill out the rest
Chapter9: Responsibility Accounting And Decentralization
Section: Chapter Questions
Problem 3EA: The following information is from Bluff Run Golf Courses. The company runs three courses and the...
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Question
The following information is from Bluff Run Golf Courses. The company runs three courses and the July income statement for each course is as follows:
| BLUFF RUN GOLF COURSES | ||||||
| Income Statement | ||||||
| Month Ending July 31, 2018 | ||||||
| Blue Course | Black Course | Gold Course | ||||
| Revenues | ||||||
| Greens fees revenue | $62,500 | $89,000 | $42,900 | |||
| Outings revenue | ? | 6,000 | 27,000 | |||
| Total revenue | $74,200 | $95,000 | $69,900 | |||
| Expenses | ||||||
| Landscaping | $7,800 | $14,200 | $6,300 | |||
| Wages | 43,900 | ? | 32,500 | |||
| Repairs and maintenance | 5,600 | 2,600 | 4,500 | |||
| Fuel | 3,100 | 3,000 | 1,970 | |||
| Utilities | 1,800 | 3,000 | 1,600 | |||
| Total expenses | $62,200 | $78,100 | $46,870 | |||
| Operating income | $12,000 | $16,900 | ? |
Question Content Area
A. Calculate the operating income percentage for each of the courses. Round your percentages to one decimal place.
| Course Blue | fill in the blank e7685c07af8dfbc_1% |
| Course Black | fill in the blank e7685c07af8dfbc_2% |
| Course Gold | fill in the blank e7685c07af8dfbc_3% |
Question Content Area
B.
1. Perform a vertical analysis for each course. Round your percentages to one decimal place.
| Course Blue | Course Black | Course Gold | ||||
| Revenues | ||||||
| Greens fees revenue | $62,500 | $89,000 | $42,900 | |||
| Outings revenue | fill in the blank 9b10a105d06705d_1 | 6,000 | 27,000 | |||
| Total revenue | $74,200 | $95,000 | $69,900 | |||
| Expenses | ||||||
| Landscaping | $7,800 | fill in the blank 9b10a105d06705d_2% | $14,200 | fill in the blank 9b10a105d06705d_3% | $6,300 | fill in the blank 9b10a105d06705d_4% |
| Wages | 43,900 | fill in the blank 9b10a105d06705d_5% | fill in the blank 9b10a105d06705d_6 | fill in the blank 9b10a105d06705d_7% | 32,500 | fill in the blank 9b10a105d06705d_8% |
| Repairs and maintenance | 5,600 | fill in the blank 9b10a105d06705d_9% | 2,600 | fill in the blank 9b10a105d06705d_10% | 4,500 | fill in the blank 9b10a105d06705d_11% |
| Fuel | 3,100 | fill in the blank 9b10a105d06705d_12% | 3,000 | fill in the blank 9b10a105d06705d_13% | 1,970 | fill in the blank 9b10a105d06705d_14% |
| Utilities | 1,800 | fill in the blank 9b10a105d06705d_15% | 3,000 | fill in the blank 9b10a105d06705d_16% | 1,600 | fill in the blank 9b10a105d06705d_17% |
| Total expenses | $62200 | $78100 | $46870 | |||
| Operating income | $12,000 | $16,900 | $fill in the blank 9b10a105d06705d_18 | |||
| Operating income % | fill in the blank 9b10a105d06705d_19% | fill in the blank 9b10a105d06705d_20% | fill in the blank 9b10a105d06705d_21% |
Question Content Area
2. Based on a vertical analysis of each course, which accounts would you want to investigate further?
C. Which method of analysis (using a dollar value or percentage) is most relevant and/or useful? Why?
check work and fill out the rest
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