Imagine that your business has already opened. Use the updated scenario information to analyze your companys performance.

Post-opening Scenario: Your angel investors are silent in relation to the business; however, they require board meetings for status updates on the companys financial health. Therefore, you need to analyze your companys performance over the last month using the data provided below.

For your variance analysis, use the following financial data:

Grooming Labor

Standard Hours - $150

Standard Rate - $12

Actual Hours -$180

Actual Rate - $11.50

Grooming Materials

Standard Quantity - 1000

Standard Price - $2

Actual Quantity -$1200

Actual Price - $3

Prompt: Complete your work by assessing your companys financial performance, specifically addressing the following critical elements:

Financial Statements

Create a statement of cost of services in the COS Schedule tab.

Create an income statement in the Income Statement tab.

Variance Analysis

Identify all variances for the direct labor time and the materials price in the Variances tab.

Evaluate the significance of the variances in the Variances tab.

istructions Instructions - Milestone 1 XYZ Corporation MILESTONE 3 - Statement of Cost of Services INSTRUCTIONS: The following are the actual numbers for January: Materials Purchased $5,000 of Materials Consumed 40% of those purchased materials Direct Labor Direct Labor was $6,240 Overhead Overhead was $2,800 XYZ Corporation Statement of Cost of Services For the Month Ended January 31, XXXX 0 Beginning Work in Process Inventory Direct Materials: Materials - Beginning Add: Purchases for month of January 0 Materials Available for Use Deduct: Ending Materials Materials Used Direct Labor Overhead Total Service Costs Deduct: Ending Work in Process Inventory Cost of Services * Cost of Goods Sold - Cost of Services There is no finished goods inventory to maintain