Arctica Manufactures snowmobiles and ATVs. These products are made in different department, and each department has it's own manager. Each responsibility performance report includes only the costs that they department manager can control: direct material, direct labor, supplies used, and utilities.

 

	Budget		Actual
For Year Ended December 31	Snowmobile	ATV	Snowmobile	ATV
Direct Material	$ 21,190	$ 29,200	21,120	$30, 690
Direct Labor	12,100	22,200	12,530	23,110
Department manager salaries	6,000	6,900	6,100	6,100
Supplies used	5,170	1,070	4,870	1,130
Utilities	530	710	500	670
Rent	7,400	8,000	7000	8,000
Totals	$52,390	$68,080	$ 52,120	$ 69,700

Prepare responsibility accounting performance report for the snowmobile department.

Responsibility Accounting Performance Report
Manager, ATV Department
For Year Ended December 31
Controllable Costs	Budgeted	Actual	Over ( Under) Budget
Total

2- Identify the financial statement(s) needed to find each number. Select if is: Income statement only, Balance sheet only, Both needed, Neither Combo of the other Ratios.

	Ratio Name	Select the Financial Statement
1	Return on Assets		Try Again
2	Debt Ratio		Try Again
3	Profit Margin		Try Again
4	Current Ratio		Try Again
5	Acid Test Ratio		Try Again
6	Inventory Turnover		Try Again
7	Days Payable		Try Again
8	Days AR		Try Again
9	AR Turnover		Try Again
10	Times Interest Earned		Try Again
11	Debt to Equity Ratio		Try Again
12	Cash Conversion Cycle		Try Again
13	Operating Margin		Try Again
14	Days in Inventory		Try Again
15	Days Cash on Hand		Try Again