i Data Table Flexible Budget Variance (F or U) % Variance (F or U) Subunit X Actual Results Flexible Budget 478,000 $ 266,000 451,000 251,000 Net Sales Revenue Variable Expenses Contribution Margin Traceable Fixed Expenses Divisional Segment Margin 212,000 38,000 200,000 29,000 171,000 174.000 $ Print Done Flexible Budget Variance (F or U) Actual Flexible Results Budget $ 478,000 $ 451,000 266,000 251,000 % Variance (For U) Subunit x Net Sales Revenue Variable Expenses Contribution Margin Traceable Fixed Expenses $ 212,000 $ 38,000 174,000 $ 200,000 29,000 171,000 $ Divisional Segment Margin Requirement 2. Based on the data presented and your knowledge of the company, what type of responsibility center is this subunit? This performance report includes ; therefore, this subunit must be Requirement 3. Which items should be investigated if part of management's decision criteria is to investigate all variances equal to or exceeding $8,000 and exceeding 10% (both criteria must be met)? Management should investigate the following: (If a box is not used in the table, leave the box empty.) Requirement 4. Should only unfavorable variances be investigated? Explain. Managers should investigate V. Favorable expense variances Requirement 5. Is it possible that the variances are due to a higher-than-expected sales volume? Explain. The flexible budget variances the due to sales volume differences between budget and actual. Differences in sales volume are captured by 7. The flexible budget variance is due to Requirement 6. Will management place equal weight on each of the variances exceeding $8,000? Explain. Management will V because Requirement 7. Which balanced Scorecard perspective is being addressed through this performance report? In your opinion, is this performance report a lead or a lag indicator? Explain. perspective of the balanced Scorecard. performance The performance report addresses the measures tend to be | indicators. They typically Requirement 8. List one key performance indicator for the three other balanced Scorecard perspectives. Make sure to indicate which perspective is being addressed by the indicators you list. Complete the following table to identify one key performance indicator for the three other balanced Scorecard perspectives. Balanced Scorecard perspective Key performance indicator i Data Table Flexible Budget Variance (F or U) % Variance (F or U) Subunit X Actual Results Flexible Budget 478,000 $ 266,000 451,000 251,000 Net Sales Revenue Variable Expenses Contribution Margin Traceable Fixed Expenses Divisional Segment Margin 212,000 38,000 200,000 29,000 171,000 174.000 $ Print Done Flexible Budget Variance (F or U) Actual Flexible Results Budget $ 478,000 $ 451,000 266,000 251,000 % Variance (For U) Subunit x Net Sales Revenue Variable Expenses Contribution Margin Traceable Fixed Expenses $ 212,000 $ 38,000 174,000 $ 200,000 29,000 171,000 $ Divisional Segment Margin Requirement 2. Based on the data presented and your knowledge of the company, what type of responsibility center is this subunit? This performance report includes ; therefore, this subunit must be Requirement 3. Which items should be investigated if part of management's decision criteria is to investigate all variances equal to or exceeding $8,000 and exceeding 10% (both criteria must be met)? Management should investigate the following: (If a box is not used in the table, leave the box empty.) Requirement 4. Should only unfavorable variances be investigated? Explain. Managers should investigate V. Favorable expense variances Requirement 5. Is it possible that the variances are due to a higher-than-expected sales volume? Explain. The flexible budget variances the due to sales volume differences between budget and actual. Differences in sales volume are captured by 7. The flexible budget variance is due to Requirement 6. Will management place equal weight on each of the variances exceeding $8,000? Explain. Management will V because Requirement 7. Which balanced Scorecard perspective is being addressed through this performance report? In your opinion, is this performance report a lead or a lag indicator? Explain. perspective of the balanced Scorecard. performance The performance report addresses the measures tend to be | indicators. They typically Requirement 8. List one key performance indicator for the three other balanced Scorecard perspectives. Make sure to indicate which perspective is being addressed by the indicators you list. Complete the following table to identify one key performance indicator for the three other balanced Scorecard perspectives. Balanced Scorecard perspective Key performance indicator