Instructions: The Accounting Department has provided you with two reports from the first quarter (Q1) of the fiscal year: the General Ledger (GL) Detail report, and the Income Statement. Use both of these reports to answer the questions. You will have two attempts to complete this assignment; the highest grade from both attempts will be recorded. Tip: Before you meet with the CFO, review every line on your General Ledger (GL) detail first. The GL detail shows the detail transactions that add up to your P&L actual result. Then review your P&L, the P&L bottom line, actual to budget variance, and prepare explanations for the financial variation to plan. Errors in your GL detail may explain parts of your P&L actual to budget variance. Park Systems 1st Quarter Report - General Ledger Detail Park Systems 1st Quarter Report - Income Statement Park Systems Managers Department General Ledger Detail Year-to-Date(TDI - March ja pa 15 ACH Tebal Fob pool 3 ACH Payroland Benefits ATAT Mobile Phone 56 SMR $ $ 2,210.00 20 Credit Card CISSP Security Ca nce MSU Code Confessemer Conference Foresight CFO Financial Management Supervisor Coaching Credit Card ACH Credit Card Credit Card $ Credit Card 3. 000 $ 150 0.00 $ 279 Park Systems Manager's Department Income Statement Year-to-Date (YTD) January - March YTD Actual Budget Variance Variance 76,489 $ 73,000 $ 3,489 Revenues Other Revenue for providing customer site support) Total Revenues 76,489 $ 73,000 $ 3,489 Department Overhead Expense Labor Payroll Tax and Benefits Telephone Training Travel Facilities Allocation Equipment Depreciation Total Expense 534,723 139,028 12,050 44,676 111,468 30,060 63,275 199,820 1,135,100 $ $ $ $ $ $ $ $ $ 598,890 155,711 14,340 47,357 95,468 33,367 3,000 209,702 1,157,834 $ 5 $ $ $ $ $ $ S 64,167 16,683 2,290 2,681 (16,000) 3,307 (60,275) 9,882 22,734 11% 16% 6% -17% 10% -2009% 5% $ $ Operating Income (1,058,611) 5 (1,084,834) $ 22,734 5:16 5:16 Exit D 1. Review the General Ledger (GL) Detail report to answer the following question: There are two items that have been coded to the wrong account. Identify those two items from the choices below. Select all that apply Marketing Postage MS User Conference AT&T Mobile Phone Commercial Truck Verizon Office Phones Workstation Uber Payroll Taxes D 2. 7:59 5:26 Exit D 2. Review the Income Statement to answer the following question: True or False: It is reasonable that YTD Actual for Payroll Taxes is lower than the budgeted amount because Labor is also lower than budget. True False D 3. Review the Income Statement to answer the following question: True or False: Your department's total expenses for the quarter are 11% over budget. True False D 4. Review the Generelt ger ett and the 7:59 5:36 Exit D 4. Review the General Ledger Detail and the Income Statement to answer the following question: True or False: The amount reported on the income statement for equipment expense is incorrect because the commercial truck was completely expensed instead of depreciated. True False D5. Review the General Ledger Detail and the Income Statement to answer the following question: True or False: The amount reported on the income statement for travel expense is incorrect because it includes $13,376 of marketing postage expense that should be reclassified to the Marketing department. True False 8:00 6:04 Exit D6. Review the Income Statement to answer the following question: True or False: The total Operating Income for the period January - March is $22,734. True False D7. Review the Income Statement to answer the following question: Select all of the reasons that could contribute to actual revenue being higher than budget: Select all that apply Staff provided more hours of customer site support than originally budgeted There were more customers than originally budgeted There was an increase in the rates charged to the customer for site support Customers did not pay their bills on time 8:00 6:14 Exit Customers did not pay their bills on time D 8. Review the General Ledger Detail and the Income Statement to answer the following question: True or False: Depreciation expense is incorrect because the Commercial Truck should have been depreciated. True False D 9. Review the Income Statement to answer the following question: True or False: It would be reasonable for actual labor costs to be less than budget if it took longer than expected to fill a vacant position for a Software Developer True False 8:00 6:21 Exit labor costs to be less than budget if it took longer than expected to fill a vacant position for a Software Developer True False D 10 Review the choices below and identify the three outcomes that may occur as a result the monthly financial statement review. Select all that apply Transactions may get re-classified to the proper accounts Transactions may get re-classified to a different department Managers may be asked to spend under budget in future months Managers may be asked to prepare an entirely new budget for their department Submit Instructions: The Accounting Department has provided you with two reports from the first quarter (Q1) of the fiscal year: the General Ledger (GL) Detail report, and the Income Statement. Use both of these reports to answer the questions. You will have two attempts to complete this assignment; the highest grade from both attempts will be recorded. Tip: Before you meet with the CFO, review every line on your General Ledger (GL) detail first. The GL detail shows the detail transactions that add up to your P&L actual result. Then review your P&L, the P&L bottom line, actual to budget variance, and prepare explanations for the financial variation to plan. Errors in your GL detail may explain parts of your P&L actual to budget variance. Park Systems 1st Quarter Report - General Ledger Detail Park Systems 1st Quarter Report - Income Statement Park Systems Managers Department General Ledger Detail Year-to-Date(TDI - March ja pa 15 ACH Tebal Fob pool 3 ACH Payroland Benefits ATAT Mobile Phone 56 SMR $ $ 2,210.00 20 Credit Card CISSP Security Ca nce MSU Code Confessemer Conference Foresight CFO Financial Management Supervisor Coaching Credit Card ACH Credit Card Credit Card $ Credit Card 3. 000 $ 150 0.00 $ 279 Park Systems Manager's Department Income Statement Year-to-Date (YTD) January - March YTD Actual Budget Variance Variance 76,489 $ 73,000 $ 3,489 Revenues Other Revenue for providing customer site support) Total Revenues 76,489 $ 73,000 $ 3,489 Department Overhead Expense Labor Payroll Tax and Benefits Telephone Training Travel Facilities Allocation Equipment Depreciation Total Expense 534,723 139,028 12,050 44,676 111,468 30,060 63,275 199,820 1,135,100 $ $ $ $ $ $ $ $ $ 598,890 155,711 14,340 47,357 95,468 33,367 3,000 209,702 1,157,834 $ 5 $ $ $ $ $ $ S 64,167 16,683 2,290 2,681 (16,000) 3,307 (60,275) 9,882 22,734 11% 16% 6% -17% 10% -2009% 5% $ $ Operating Income (1,058,611) 5 (1,084,834) $ 22,734 5:16 5:16 Exit D 1. Review the General Ledger (GL) Detail report to answer the following question: There are two items that have been coded to the wrong account. Identify those two items from the choices below. Select all that apply Marketing Postage MS User Conference AT&T Mobile Phone Commercial Truck Verizon Office Phones Workstation Uber Payroll Taxes D 2. 7:59 5:26 Exit D 2. Review the Income Statement to answer the following question: True or False: It is reasonable that YTD Actual for Payroll Taxes is lower than the budgeted amount because Labor is also lower than budget. True False D 3. Review the Income Statement to answer the following question: True or False: Your department's total expenses for the quarter are 11% over budget. True False D 4. Review the Generelt ger ett and the 7:59 5:36 Exit D 4. Review the General Ledger Detail and the Income Statement to answer the following question: True or False: The amount reported on the income statement for equipment expense is incorrect because the commercial truck was completely expensed instead of depreciated. True False D5. Review the General Ledger Detail and the Income Statement to answer the following question: True or False: The amount reported on the income statement for travel expense is incorrect because it includes $13,376 of marketing postage expense that should be reclassified to the Marketing department. True False 8:00 6:04 Exit D6. Review the Income Statement to answer the following question: True or False: The total Operating Income for the period January - March is $22,734. True False D7. Review the Income Statement to answer the following question: Select all of the reasons that could contribute to actual revenue being higher than budget: Select all that apply Staff provided more hours of customer site support than originally budgeted There were more customers than originally budgeted There was an increase in the rates charged to the customer for site support Customers did not pay their bills on time 8:00 6:14 Exit Customers did not pay their bills on time D 8. Review the General Ledger Detail and the Income Statement to answer the following question: True or False: Depreciation expense is incorrect because the Commercial Truck should have been depreciated. True False D 9. Review the Income Statement to answer the following question: True or False: It would be reasonable for actual labor costs to be less than budget if it took longer than expected to fill a vacant position for a Software Developer True False 8:00 6:21 Exit labor costs to be less than budget if it took longer than expected to fill a vacant position for a Software Developer True False D 10 Review the choices below and identify the three outcomes that may occur as a result the monthly financial statement review. Select all that apply Transactions may get re-classified to the proper accounts Transactions may get re-classified to a different department Managers may be asked to spend under budget in future months Managers may be asked to prepare an entirely new budget for their department Submit