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JACKs Fish House is a family-owned restaurant that specializes in German-style seafood. Data concerning the restaurants monthly revenues and costs appear below ( q refers

JACKs Fish House is a family-owned restaurant that specializes in German-style seafood. Data concerning the restaurants monthly revenues and costs appear below (q refers to the number of meals served):

Formula

Revenue

$ 16.50q

Cost of ingredients

$6.25q

Wages and salaries

$ 10,400

Utilities

$800 + $0.20q

Rent

$2,200

Miscellaneous

$600 + $0.80q

Prepare the restaurants planning budget for April assuming that 1,800 meals are served.

Assume that 1,700 meals were actually served in April. Prepare a flexible budget for this level of activity.

The actual results for April appear below. Prepare a flexible budget performance report for the restaurant for April.

Revenue

$27,920

Cost of ingredients

$ 11,110

Wages and salaries

$10,130

Utilities

$ 1,080

Rent

$2,200

Miscellaneous

$?2,240

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