Preparing a Performance Report using Excel's ABS, IF and SUM Functions Perfect Parties, Inc. has several divisions, one of which provides birthday parties at their facility, and has provided the actual and planning budget results for the month of June. The Controller has asked you prepare the Birthday Party Division Budget Performance Report Use the information included in the Excel Simulation and the Excel functions described below to complete the task el HW Soved 1 Perfect Parties, Inc. has several divisions. One division provides birthday parties at their facility. 2 Each party sold provides entertainment, decorations, food, and party favors for 10 children. 3 The bookkeeper has prepared a report comparing actual results for the month of June to budgeted results 4 5 6 7 Perfect Parties Birthday Party Division Analysis of Revenues and Costs For the Month Ended June 30 00 9 Variances $ 3,560 F Planning Budget Actual Results 10 11 Number of parties 80 92 12 13 Revenue $ 36,000 $ 39,560 14 Expenses: 15 Food costs 7,200 8,648 16 Party supplies 3,200 3,404 17 Party worker wages 6,400 7,728 18 Administrative salaries 3,700 3,500 19 Equipment depreciation 1,200 1,200 20 Rent 5,000 5,000 21 Total expense 26,700 29,480 22 Net operating income 9,300 $ 10,080 23 Food costs, party supplies and party worker wages are variable costs. 1,448 U 204 U 1,328 U 200 F None None 2,780 U 780 F $ w Saved Help 2 Net operating income $ 9,300 $ 10,080 780 F 3 Food costs, party supplies and party worker wages are variable costs. 4 Administrative salaries, equipment depreciation and rent are fixed costs. 5 6 Prepare a new report for June using the flexible budget approach. Enter all variances as positive amounts. If there is a variance, write an IF statements to indicate if it is For U(using capital letters). 8 If there is no variance, enter the word None. 9 Perfect Parties -0 Birthday Party Division Flexible Budget Performance Report 1 For the Month Ended June 30 -2 Planning Flexible Revenue and Actual 3 Budget Activity Variances Budget Spending Variances Results 4 Number of parties 5 56 Revenues 07 Expenses: 38 Food costs 59 Party supplies 0 Party worker wages 1 Administrative salaries 12 Equipment depreciation 13 3 Saved Help S Ecel HW 30 31 32 Birthday Party Division Flexible Budget Performance Report For the Month Ended June 30 Planning Budget 33 Flexible Budget Revenue and Spending Variances Actual Results Activity Variances 34 Number of parties 35 36 Revenues 37 Expenses: 38 Food costs 39 Party supplies 40 Party worker wages 41 Administrative salaries 42 Equipment depreciation 43 Rent 44 Total expense 45 Net operating income 46 47 48 49 2 Variance Analysis using Excel's ABS, IF and Basic Math Functions Patterson Inc. has provided details of its actual cost data for the month The Controller hos asked you to compute the basic variances and the Impact of those variances on unit costs. Use the information included in the Excel Simulation and the Excel functions descnbed below to complete the task 10 1 Standards for one of Patterson, Inc.'s products is shown below, along with actual cost data for the month: 2 3 Direct materials: 4 Standard 2.4 yards @ $2.75 peryard $6.60 5 Actual 3 yards @ $2.70 per yard $8.10 6 Direct labor. 7 Standard 0.6 hours @ $18.00 per hour 10.80 8 Actual 0.5 hours @ $22.00 per hour 11.00 9 Variable overhead: 10 Standard 0.6 hours @ $7.00 per hour 4.20 11 Actual 0.5 hours @ $7.10 per hour 3.55 12 13 Total cost per unit $21.69 $22.65 14 15 Excess of actual cost over standard cost per unit $1.05 16 17 Actual production for the month 13,500 units 18 Variable overhead is assigned to products based on direct labor hours. There 19 was no beginning or ending inventory of materials for the month. 20 21 Using formulas, compute the following. Input all numbers as positive amounts. Indicate whether the variances are For U. Write if statements for variance cells F30 to 547. Use cell references (formulas) for cells 053 - D60. Enter an For U to indicate the correct variance in cells F54 22 Saved Excel HW Indicate whether the variances are For U. Write if statements for variance cells F30 to F47. Use cell 22 references (formulas) for cells D53 - D60. Enter an For U to indicate the correct variance in cells F54 to F62 23 24 25 Standard Cost Variance Analysis - Direct Materials 26 Standard Quantity Allowed for Actual Output at Standard Price 27 Actual Quantity of Input, at Standard Price 28 Actual Quantity of Input, at Actual Price 29 30 Materials quantity variance 31 Materials price variance 32 33 Standard Cost Variance Analysis - Direct Labor 34 Standard Hours Allowed for Actual Output at Standard Rate 35 Actual Hours of Input, at Standard Rate 36 Actual Hours of Input, at Actual Rate 37 38 Labor efficiency variance 39 Labor rate variance 40 41 Standard Cost Variance Analysis - Variable Manufacturing Overhead 42 Standard Hours Allowed for Actual Output at Standard Rate 43 Actual Hours of input at Standard Rate 42 Standard Hours Allowed for Actual Output at Standard Rate 43 Actual Hours of Input, at Standard Rate 44 Actual Hours of Input, at Actual Rate 45 46 47 48 Variable overhead efficiency variance Variable overhead rate variance 49 Using formulas, compute the amount of the unit cost difference 50 that is traceable to each of the variances computed above. 51 52 Materials: 53 Quantity variance 54 Price variance 55 Labor 56 Efficiency variance 57 Rate variance 58 Variable overhead: 59 Efficiency variance 60 Rate variance 61 62. Excess of actual over standard cost per unit 63 64 65
