1. Williams Company is a merchandiser and its accounting department has finished preparing = flexible budget to better understand the differences between its actual results and the master budget The chief financial officer (CFO) would like your assistance in interpreting some data visualizations that she will use to explain why the company's actual results differed from its master budget. Required: Review the Tableau dashboards that the CFO has given you and answer the questions that follow. Sales Analysis todunt com (For each question you may select more than one answer.) la. Which of the following statements are true with respect to the Sales Analysis visualization? check all that apply The green line depicts each month's actual unit sales. The red line depicts each month's actual average selling price per unit. The blue line depicts the budgeted selling price per unit.1b. Which of the following statements are true with respect to the Sales Analysis visualization? check all that apply The actual average selling price per unit in April is less than that month's budgeted selling price per unit . The actual average selling price per unit in April is greater than that month's budgeted selling price per unit. . The actual average selling price per unit in July is equal to that month's budgeted selling price per unit. . The actual average selling price per unit never exceeds the budgeted selling price per unit 1c. Which of the following statements are true with respect to the Sales Analysis visualization? check all that apply The actual unit sales in November are greater than that month's budgeted unit sales. The actual unit sales in July are less than that month's budgeted unit sales. The actual unit sales in July are greater than that month's budgeted unit sales. The actual unit sales in November are less than that month's budgeted unit sales. 1d. Which of the following insights are revealed by the Sales Analysis visualization? check all that apply . Ordinarily, if a company reduces its actual average selling price below the budgeted selling price, it would expect actual units sales to rise above budgeted unit sales, but this did not happen for Williams Company. Ordinarily, if a company reduces its actual average selling price below the budgeted selling price, it would expect actual units sales to drop below budgeted unit sales, but this did not happen for Williams Company. Ordinarily, if a company raises its actual average selling price above the budgeted selling price, it would expect actual units sales to rise above budgeted unit sales, and this is exactly what happened at Williams Company Ordinarily, if a company raises its actual average selling price above the budgeted selling price. it would expect actual units sales to drop below budgeted unit sales, and this is exactly what happened at Williams Company.2. Williams Company is a merchandiser and its accounting department has finished preparing a flexible budget to better understand the differences between its actual results and the master budget The chief financial officer (CFO) would like your assistance in interpreting some data visualizations that she will use to explain why the company's actual results differed from its master budget. Required: Review the Tableau dashboards that the CFO has given you and answer the questions that follow. Net Income Jan Net Profit Margin Percentage (NPM 6) Month September [For each question you may select more than one answer.) 2a. Which of the following statements are true with respect to the Net Income visualization? check all that apply The red bars show each month's actual net income The blue bars show each month's net income according to the master budget. The green bers show each month's net income according to the flexible budget.2b. Which of the following statements are true with respect to the Net Income visualization? check all that apply For the month of January, the net income according to the flexible budget is greater than the net income according to the master budget. For the month of August, the actual net income is greater than the net income according to the flexible budget. For the month of May, the actual net income is greater than the net income according to the master budget. For the month of May, the actual net income is less than the net income according to the flexible budget. 2c. Which of the following statements are true with respect to the Net Profit Margin Percentage visualization? check all that apply The turquoise trend line shows each month's net profit margin percentage according to the flexible budget. The turquoise trend line shows each month's net profit margin percentage according to the master budget The orange trend line shows each month's actual net profit margin percentage. 2d. Which of the following statements are true with respect to the Net Profit Margin Percentage visualization? check all that apply The net profit margin percentage according to the flexible budget steadily increases from August through December. The actual net profit margin percentage steadily increases from February through June. The monthly net profit margin percentages according to the flexible budget are never less than each month's actual net profit margin percentage The actual net profit margin percentage steadily increases from August through December. 2e. Which of the following insights are revealed by the Net Income and Net Profit Margin Percentage visualizations? check all that apply The net income and the net profit margin percentage never always expectations according to the flexible budget. The net income and the net profit margin percentage never exceeded expectations according to the flexible budget. The net income exceeded expectations according to the flexible budget in some months, but the net profit margin percentage never exceeded expectations according to the flexible budget The net income never exceeded expectations according to the flexible budget, but the net profit margin percentage exceeded expectations according to the flexible budget in some months.3. The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers it uses in its budgeting and performance reports the number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 60 students enrolled in those two courses. Data concerning the company's cost formulas appear below. Cost per For example, Fixed Cost per Month Cost per Course Student administrative expenses Instructor wages 2,930 should be $3,900 per Classroom supplies $ 290 month plus $45 per Utilities 1,240 course plus $5 per Campus rent 5,100 student. The company's Insurance 2,000 sales should average Administrative expenses 3,900 $ 45 $ $900 per student. Actual The company planned to run four courses with a total of 60 Revenue $51, 100 students; however, it actually ran four courses with a total of Instructor wages $11,000 only 52 students. The actual operating results for September Classroom supplies $17 260 were as follows: Utilities 1,970 Campus rent $ 5,100 Insurance 2,140 Administrative expenses$ 3,808 Required: Prepare a flexible budget performance report that shows both revenue and spending variances and activity variances for September. (Indicate the effect of each variance by selecting "F* for favorable, "U" for unfavorable, and "None" for no effect (Le., zero variance). Input all amount ta, as pooltive values.} Gourmand Cooking Schoel Flexible Budget Performance Report For the Month Ended September 30 Actual Resulty Planning Budget Budget 4 Chourcom supples 17 250 WTH 21454. Lavage Rapide is a Fixed Cost Cost per Canadian company that per Month Car Washed owns and operates a large Cleaning Supplies 0.80 automatic car wash facility Electricity $ 1, 200 0.09 Maintenance D .25 near Montreal. The Wages and galaxies 4, 500 0.20 following table provides Depreciation 8, 100 estimates concerning the Rant 2, 000 company's costs: Administrative expenses 1 , 600 0 . 01 For example, electricity costs should be $1,200 per month plus $0.09 per car washed. The company expects to wash 8,500 cars in August and to collect an average of $8.20 per car washed. Income Statement The actual operating results for August are as For the Month Ended August 31 follows: Actual cars washed 8, 600 RATENUR 654.800 Required: Expenses: Prepare a flexible budget performance report Cleaning Supplies 5, 600 that shows the company's revenue and Electricity 1,935 Maintenance 2.365 spending variances and activity variances for Wages and salaries 6,560 August. (Indicate the effect of each variance Depreciation 8, 100 by selecting "F' for favorable, "U" for Rant 2.200 unfavorable, and "None" for no effect (L.e. Administrative Axpangea 1, 385 zero variance]. Input all amounts as positive Total expands 28,345 values.] Net operating income 626,455 Lawage Rapidly Flexible Budget Performance Report For the Month Faded August 19 Actuari Planning Care watheFitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have Sales $820,000 authority to make investments as needed, are $ 22,140 evaluated based largely on return on investment Net operating income (RO]]. The company's Springfield Club reported Average operating assets $100,000 the following results for the past year: The following questions are to be considered independently. Required: 5. Compute the Springfield club's return on investment (ROI). (Do not round Intermediate calculations. Round your answer to 2 decimal places.} Fletum on Investment (ROD) 3. Assume that the manager of the club is able to increase sales by $82,000 and that, as a result, net operating income increases by $6,724. Further assume that this is possible without any increase in average operating assets. What would be the club's return on investment (ROI)? (Do not round Intermediate calculations. Round your anewer to 2 decimal places.} Fleturn on Investment (ROD 7. Assume that the manager of the club is able to reduce expenses by $3,280 without any change in sales or average operating assets. What would be the club's retum on investment (ROJ]? (Do not round Intermediate calculations. Round your answer to 2 decimal places.} Fletum on Investment (ROD) 8. Assume that the manager of the club is able to reduce average operating assets by $50,000 without any change in sales or net operating income. What would be the club's return on investment (ROI)? (Do not round Intermediate calculations. Round your answer to 2 decimal places.} Fluturn on Investment (ROD)8. Selected sales and operating data for three divisions of different structural engineering firms are given as follows: 615, 200,000 635,200,000 625,200,000 Average Operating assets 6 3, 040, 000 6 7,040,000 6 5,040,000 Net operating income in 568, 800 6 363, 200 6 655, 200 Minimum required zaba of saturn 9.004 9.905 13.004 Required: A. Compute the margin, turnover, and return on investment (ROI) for each division. Margin Tumover Divinion B B. Compute the residual income (loss) for each division. Division A Divisime C. Assume that each division is presented with an investment opportunity that would yield a 10% rate of return. a. If performance is being measured by ROI, which division or divisions will probably Division A accept the opportunity? Division b. If performance is being measured by residual income, which division or divisions will probably accept the opportunity? Division A Division B Division C10 Koppis Corporation operates a Medical Services Department for its employees. Charges to the company's operating departments for the variable costs of the Medical Services Department are based on the actual number of employees in each department. Charges for the fixed costs of the Medical Services Department are based on the long-run average number of employees in each operating department. Variable Medical Services Department costs are budgeted at $59 per employee. Fixed Medical Services Department costs are budgeted at $682,900 per year. Actual Medical Services Department costs for the most recent year were $106,000 for variable costs and $608,000 for fixed costs. Data concerning employees in the three operating departments follow. Cutting Milling Assembly Budgeted number of employees 616 283 905 Actual number of employees for the most recent year 516 383 805 Long-run average number of employees 810 540 1,350 Required: A. Determine the Medical Services Department charges for the year to each of the operating departments-Cutting, Milling, and Assembly. Cutting Milling Assembly D. How much, if any, of the actual Medical Services Department costs for the year should be created as a spending variance and not charged to the operating departments? Spending variance