Im wondering if you can help me please.

I am getting confused

I have enclosed all the information I have been provided.

I can't seem to work out the variance analysis

snhu ACC 202 Milestone One: Operational Costs Data Appendix You plan to open a small business for manufacturing pet collars, leashes, and harnesses. You have found a workshop space you can use for sewing your products. After some research and planning, you have estimates for the various operating costs for your business. The total square footage for the sewing rooms is 1,500 square feet broken into three areas (500 square feet each). You have taken out a loan for start-up costs, and the monthly payment is $550; it goes into effect immediately and should be accounted for in your costs. You will also collect a modest salary for the first year of $500 per month; remember to divide evenly among the services. Salary and Hiring Data One collar maker, who will be paid $16.00 per hour and work 40 hours per week One leash maker, who will be paid $16.00 per hour and work 40 hours per week One harness maker, who will be paid $17.00 per hour and work 40 hours per week . One receptionist, who will be paid $15.00 per hour and work 30 hours per week Other Costs Rent: $750 per month; allocate based on square footage - 250 High-tensile strength nylon webbing-$12 per yard of webbing 12 3 collars per yard of webbing 4 2 leashes per yard of webbing 6 2 harnesses per yard of webbing 6 Polyesterylon ribbons-$9 per yard of ribbon 3 collars per yard of ribbon 3 2 leashes per yard of ribbon 4:50 o 2 harnesses per yard of ribbon .So Buckles made of cast hardware-$0.50 per buckle 4 buckles used per collar 2 O 3 buckles used per leash 1.5 55 8 buckles used per harness 4 3 industrial sewing machines at $3,300 each for a total of $9,900; depreciation is $165 per month (5- year life) Utilities and insurance: $600 per month; allocate based on square footage . Scissors, thread, cording: $1,200 3 600 Price tags: $250 for 2,500 ($0.10 each) 31 1200 = 400 Office supplies: $2,400 or $200 per month Other business equipment: $2,000 Loan payment of $550 per month 183. 33 . Salary drawn of $500 per month 166. 67K-E snhu Milestone Two: Market Research Data You have conducted some market research for style and size of products you want to use to launch your business. The market research has indicated the following sales price ranges will be optimal for your area depending on style of products you choose to sell: . Collars With pricing at $20 per collar, you can expect to sell 30 collars per day. 2 0 With pricing at $24 per collar, you can expect to sell 25 collars per day. 20 With pricing at $28 per collar, you can expect to sell 20 collars per day Leashes o With pricing at $22 per leash, you can expect to sell 28 leashes per day. 2 0 With pricing at $26 per leash, you can expect to sell 23 leashes per day. 3 0 With pricing at $30 per leash, you can expect to sell 18 leashes per day. Harnesses 10 With pricing at $25 per harness, you can expect to sell 25 harnesses per day. 2 With pricing at $30 per harness, you can expect to sell 22 harnesses per day. 3 0 With pricing at $35 per harness, you can expect to sell 20 harnesses per day. Additionally, you will need to compare your break-even points for the following target profits for each area of your business to determine your prices: . Collars Break-even O $300 target profit each month $500 target profit each month . Leashes Break-even O $400 target profit each month O $600 target profit each month Harnesses Break-even O $500 target profit each month O $650 target profit each monthfed workbooks: Your recent changes were saved. Do you want to continue working wh E19 X V fx =E9+E10+11+12+E13+14+E15 A B C D E F G 1 Milestone One - Variable and Fixed Costs 5 Collars Item Variable Cost/Item Item Fixed Costs 9 High-tensile strength nylon webbing S 4.00 Collar maker's salary (monthly) 2,773.33 10 Polyesterylon ribbons 3.00 Depreciation on sewing machines 55.00 11 Buckles made of cast hardware 2.00 Rent 250.00 12 Price tags 0.10 Utilities and insurance 200.00 13 Scissors, thread, and cording 400.00 14 Loan payment 183.33 15 Salary to self 166.67 16 17 19 Total Variable Costs per Collar $ 9.10 Total Fixed Costs $ 4,028.33 20 22 23 Leashes 25 Item Variable Cost/Item Item Fixed Costs 27 High-tensile strength nylon webbing 6.00 Leash maker's salary (monthly) 2,773.33 28 Polyester/ nylon ribbons 4.50 Depreciation on sewing machines 55.00 29 Buckles made of cast hardware 1.50 Rent 250.00 Price tags 0.10 Utilities and insurance 200.00K32 * v fx B C D E F G H K M 5 COLLARS LEASHES RNESSES Sales Price S 20.00 S 22.00 25.00 09 9 Fixed Costs S 4,028.33 S 4,028.33 S 4,201.67 10 11 Contribution Margin S 10.90 S 9.90 10.40 12 13 Break-Even Units (round up) 370.00 407.00 405.00 14 16 17 Target Profit S 300.00 S 400.00 S 500.00 18 19 Break-Even Units (round up) 398.00 448.00 453.00 20 22 23 Target Profit S 500.00 S 600.00 S 650.00 24 25 Break-Even Units (round up) 416.00 468.00 467.00 26 28 29 Break-Even Units = Fixed Costs / Contribution Margin 30 4028.33/10.90 = 4028.33/9.90 = 4201.67/10.40 31 Break Even Units 369.5715596 406.9020202 404.0067308 32 Break Even Rounded Up 370 407 405 33 34 35 Target Profit = (Fixed Cost + Target Profit)/Contribution Margin 36 (4028.33 + 300)/10.90 (4028.33 + 400)/9.90 (4201.67 + 500)/10.40 37 397.0944954 447.3060606 452.0836538 38 Rounded Up 398 448 453 39 40 (4028.33 + 500)/10.90 (4028.33 + 600)/9.90 (4201.67 + 650)/10.40 41 415.4431193 467.5080808 466.5067308 + 42 Rounded Up 416 468 467 43Milestone Three - Statement of Cost of Goods Sold Beginning Work in Process Inventory 0 Direct Materials: Materials: Beginning Add: Purchases for month of January 20,000 Materials available for use 20,000 0 Deduct: Ending materials 4 000.OU Materials Used 16:000 + Direct Labor 8493- 33 Overhead + 3765 Total Costs 28 258.33 Deduct: Ending Work in Process Inventory 0 Cost of Goods Sold 28 258-33 Deduct: Ending Materials = (20,000 x ( 100%-80'%) = 4,006 materials used = 20,000-4000 = 16006Milestone Three - Income Statement Revenue: Collars $ 731200-00 Leashes 12320 Harnesses 12500 Total Revenue: $1380BU Cost of goods sold 2X25X- 33 Gross profit 9761.5 Expenses: General and administrative salaries $ 2450- Depreciation 165 - Rent 750 - Utilities and insurance 600. Add Scissors, thread, and cording 1 200 Loan 550 Total Expenses $ 5715 - Net Income/Loss 4046-67 items day $ Revenue : collars = 33 x 20 x 20 = 13200 28 x 20 * 24 = 13 4140 23 x 20 x28 - 12 830 + = 39520. Leashes 28 x 20 x 22 12320 23 x 20 x 26 = 11960 18 x 20 * 30 - 10800 35080 Harness 25 * 20 * 25 = 12500 22 x 20 *:30 = 13200 20 * 20 * 35 = 14006 - 39760 ACC202 - MANAGERIAL ACCOUNTING gen admin - receptionist towner = 1950+500- 2450snhu ACC 202 Milestone Three: Actual Costs and Revenue Data Appendix At the end of the first month of opening your business, you calculate the actual operating costs of the business and the income you earned. You also notice and document the difference in what you budgeted for certain materials and labor against the actual amounts you spent on the same. For your statement of cost of goods sold, use the following data regarding the actual costs incurred by the business over the past month: . Materials purchased: $20,000 o Consumed 80% of the purchased materials Direct labor: $8,493.33 Overhead costs: $3,765 Note: Assume that the beginning materials and ending work in process are zero for the month. - Use the following revenue and cost information for the income statement. Note that the revenue you use will depend on the pricing level options you chose in Milestone Two. Also, assume that after accounting for weekends and other holidays, there were 20 business days in the first month of operation. For example, if you chose a sales price of $20 per collar, the actual number of collars sold in the month was 33 per day or 33 x 20 = 660 per month. Established Sales Number of Items Sold per Price Day Collars $20 33 $24 28 $28 23 Leashes $22 28 $26 23 $30 18 Harnesses $25 25 $30 22 $35 20 The other costs incurred by the business include: General and administrative salaries 0 Receptionist: $1,950 Owner salary: $500 Depreciation: $165 . Rent: $750 . Utilities and insurance: $600 . Scissors, thread, and cording: $1,200 . Loan repayment: $550 1