service company obj. 5, 6 The actual and planned data for Underwater University for the Fall term
Question:
service company obj. 5, 6 The actual and planned data for Underwater University for the Fall term 2016 were as follows:
Actual Planned Enrollment 4,500 4,125 Tuition per credit hour $120 $135 Credit hours 60,450 43,200 Registration, records, and marketing cost per enrolled student $275 $275 Instructional costs per credit hour $64 $60 Depreciation on classrooms and equipment $825,600 $825,600 Registration, records, and marketing costs vary by the number of enrolled students, while instructional costs vary by the number of credit hours. Depreciation is a fixed cost.
a. Prepare a variable costing income statement showing the contribution margin and income from operations for the Fall 2016 term.
b. Prepare a contribution margin analysis report comparing planned with actual performance for the Fall 2016 term.
Step by Step Answer:
Financial And Managerial Accounting
ISBN: 9781305267831,9781305267848
13th Edition
Authors: Carl S. Warren , James M. Reeve , Jonathan Duchac