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1. Prepare a flexible budget. 2. Compute the sales volume variance and the variable cost volume variances based on a comparison between the master budget
- 1. Prepare a flexible budget.
- 2. Compute the sales volume variance and the variable cost volume variances based on a comparison between the master budget and the flexible budget
- 3.Compute flexible budget variances by comparing the flexible budget with the actual results.
- 4.Summarize the results of the sales volume and variable cost volume variances computations based on the comparison between the master budget and the flexible budget.
- 5.Summarize the results of the flexible budget variances computations based on the comparison between the flexible budget and the actual results.
- 6.Justify the favorable or unfavorable budget variances.
- 7.Since this is a not-for-profit organization, address why anyone should be concerned with meeting the budget.
- 8.Make recommendations for what can be done differently to stay on budget for future luncheons. Provide specific examples to support your recommendations.
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